WORLD TRADE  
ORGANIZATION  RESTRICTED 
WT/ACC/LAO/24 
24 January 2012 
 (12-0480) 
Working Party on the 
Accession of the Lao PDR Original:   English 
 
 
 
ACCESSION OF THE LAO PDR 
 
Additional Questions and Replies 
 
  The following submission, dated 16 January 2012, is being circulated at the request of the 
Delegation of the Lao People's Democratic Republic (Lao PDR). 
 
_______________ 
   WT/ACC/LAO/24 
 Page i 
 
 
  TABLE OF CONTENTS 
II.  ECONOMIC POLICIES .......................................................................................................... 1  
-  Investment Regime.............................................................................................................. ...... 1 
-  State Ownership and Privatization ......................................................................................... 1  
-  Pricing Policies .............................................................................................................. ............ 3 
IV.  POLICIES AFFECTING TRADE IN GOODS ..................................................................... 4  
-  Trading Rights ................................................................................................................ .......... 4 
A.  IMPORT REGULATIONS ...................................................................................................... 9  
-  Tariff rate quotas, tariff exemptions ....................................................................................... 9  
-  Fees and charges for services rendered ................................................................................... 9  
-  Application of internal  taxes to imports ............................................................................... 10  
-  Quantitative import restrictions, includi ng prohibitions, quotas and licensing 
systems ....................................................................................................................... .............. 10  
-  Customs Valuation ............................................................................................................. ..... 15 
-  Rules of Origin ............................................................................................................... ......... 24 
-  Other Customs Formalities .................................................................................................... 25 
-  Pre-shipment inspection ....................................................................................................... .. 25 
-  Anti-dumping, countervailing duties, safeguard remedies ................................................. 26  
B.  EXPORT REGULATIONS ................................................................................................... 28  
-  Export restri ctions ........................................................................................................... ....... 28 
C.  INTERNAL POLICIES A FFECTING FOREIGN TRADE IN GOODS ......................... 28  
-  Industrial Policy, Including Subsidies ................................................................................... 28  
-  Technical Barriers to Trade, Standards and Certification ................................................. 30  
-  Sanitary and Phytosanitary Measures .................................................................................. 32  
-  Trade-related investment measures ...................................................................................... 41  
-  Free zones, special economic areas ........................................................................................ 42  
-  Agricultural policies.......................................................................................................... ...... 42 
V.  TRADE-RELATED INTELLECTUAL  PROPERTY REGIME ....................................... 43  
-  GENERAL ....................................................................................................................... ........ 43 
-  SUBSTANTIVE STANDARDS OF PROTECTION, INCLUDING 
PROCEDURES FOR THE ACQUISITION AND MAINTENANCE OF INTELLECTUAL PROPERTY RIGHTS ........................................................................... 44  
-  Copyright and related rights ..................................................................................................  44 
-  Geographical indications, including appellations of origin ................................................. 46  
-  Plant variety protection ...................................................................................................... .... 47 
-  ENFORCEMENT ...................................................................................................................  48 
VI.  POLICIES AFFECTING TRADE IN SERVICES .............................................................. 49  
VII. TRANSPARENCY ................................................................................................................. 50 
-  Publication of information on trade ...................................................................................... 50  
VIII. TRADE AGREEMENTS ....................................................................................................... 51  
ANNEX ......................................................................................................................... ........................ 52   WT/ACC/LAO/24 
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  II. ECONOMIC POLICIES 
- Investment Regime  Question 1  Regarding paragraphs 19 to 28 of the Elements of a Draft Working Party Report 
(WT/ACC/SPEC/LAO/4/Rev.1):  At the Working Party Meeting of 29 June, Lao PDR stated 
that the Implementing Decree of the new Investment Promotion Law had been adopted.  Could 
Lao PDR indicate when Members will have access to  a translated version of this Implementing 
Decree? 
Answer: 
Lao PDR has provided the English translation of the Implementing Decree of the new Investment 
Promotion Law to the Working Party.  See document WT/ACC/LAO/24/Add.1. 
- State Ownership and Privatization 
Question 2  With respect to paragraph 30 of the Elements of a Draft Working Party Report 
(WT/ACC/SPEC/LAO/4/Rev.1), it is noted that "The preferred method of privatization was a 
joint venture model in which the State retained 51 per cent ownership initially, and then 
reduced its share at subsequent stages".  Do es "stages" refer to a specific process or legal 
requirement for reduction of the share?   
Answer: 
"Stages" does not refer to any specific process or le gal requirement for reduction of the share of state 
ownership.  It is a policy statement which refers  to Lao PDR's general process of privatisation.  
Lao PDR has taken no decision at this time to priv atize the remaining 37 SOEs.  There is currently a 
programme, supported by the World Bank, to restructur e SOEs in order to increase their efficiency. 
Restructuring does not necessarily include privatisation, but may lead to it. 
Question 3  
With respect to paragraph 31 of the Elements of a Draft Working Party Report, it is noted that 
"the 37 enterprises would remain majority Stat e-owned until his Government would consider it 
feasible to reduce its share".  What factors are assessed to determine whether reducing the 
Government share is "feasible"?  Please identify  the specific process and any related regulations 
or legislation that dictate how this determination is made.   
Answer: 
As provided for in Factual Summary JOB(07)/160/Rev. 2, paragraph 30; the factors in retaining the 
State ownership in the remaining SOEs would pertai n to importance of national security, defence, and 
economic and social development. 
See also the response to Question 4.  WT/ACC/LAO/24 
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  Question 4  
With respect to paragraph 32 of the Elements of  a Draft Working Party Report, please describe 
in detail the "restructuring programme" referenced in this paragraph.   
Answer: 
As mentioned in the response to Question 2, La o PDR is currently, supported by the World Bank, 
restructuring its remaining SOEs, which does not mean , but can include privatisation.  For example, 
within this restructuring programme, the sale of a mi nority portion of shares of some state enterprises 
has begun, such as:  Electricity du Laos (EDL ) and Banque pour Le Commerce Exterieur Lao 
(BCEL).  Shares have been sold to the p ublic through initial public offering (IPO).  
There is no general rule of the referred restructur ing; it is carried out on a case-by-case basis.  
The restructuring of EDL and BCEL has been co mpleted.  In the case of EDL, a new company 
(EDL-Gen) has been created, with EDL as the major shareholder with 75 per cent of total 
shareholding.  The remaining shares were sold to the public.  In the restructuring of BCEL, the 
Government of Lao PDR has kept 70 per cent of the shares, while 30 per cent are owned by the 
public.  Both companies are listed in the Lao Secu rities Exchange (LSX) since January 2011.  More 
details on these companies and listing regulations ar e available on the official website of LSX:  
www.lsx.com.la.   
Another state owned enterprise, Enterprise of Tele communication Lao (ETL), plans to have an initial 
public offering of 30 per cent.  
For the moment, given the low absorption capacity of the Lao Securities Exchange, the Government 
of Lao PDR has no plan to increase privat e participation in those enterprises.  
Question 5  Paragraph 32 also notes that "no timetable ha d been set for the restructuring of these 
enterprises".  Please explain why a time table has not been established.   
Answer: 
Please refer to the responses to Questions 2, 3 and 4. 
Question 6  Paragraph 32 also notes that "the establishm ent of a securities market in Lao PDR was still 
under study".   
- What is the status of this study, and if it is  not yet complete, what is the timetable for its 
completion? 
- Has Lao PDR listed any state owned companies on its security exchange, or does it have 
plans to do so in the future?   
Answer: 
The study was completed in mid-2010.  The Lao Securities Exchange ( LSX) was established on 
10 October 2010 and has become operational since January 2011.  Please refer to the response to 
Question 4 regarding the listing of state owned enterprises in LSX.  WT/ACC/LAO/24 
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  - Pricing Policies  
Question 7  We note that paragraph 36 states that Lao PDR was currently re-examining minimum rice 
pricing for consistency with provisions of WTO commitments.  Can Lao PDR update the 
Working Party on its examination of this issue, including with respect to Article 4.2 of the 
WTO Agreement on Agriculture. 
Answer: 
The minimum pricing in paragraph 36 refers to the floor price of glutinous rice determined and 
recommended by the Government of Lao PDR annually  to serve as an optional reference for the sale 
and purchase of glutinous rice between farmers and mill houses in the Lao PDR .  Such floor price is 
not compulsory and does not affect imported rice.   Lao PDR has no policy prohibiting import of rice 
and has included rice in the auto matic licensing regime instead of  non-automatic licensing regime.  
Lao PDR proposes commitment language below:  
"The representative of Lao PDR confirmed th at, from the date of accession, Lao PDR would 
apply price controls in a WTO-consistent fash ion, including with Articles III:4 and III:9 of 
the GATT 1994, and Article 4 of the Agreement on Agriculture, and with Article VIII of the 
General Agreement on Trade in Services (GATS) , and take account of the interests of 
exporting WTO Members.  Lao PDR would also publish the list of goods and services subject 
to price control and any changes to this list in  its Official Gazette.  The Working Party took 
note of these commitments". 
Question 8  
With respect to paragraph 37 of the Elements of a Draft Working Party Report 
WT/ACC/SPEC/LAO/4/Rev.1, and Questions 4 and 5 of WT/ACC/LAO/20, a Member suggests the following commitment text alternativ es.  We can accept either formulation: 
 [xx. The representative of Lao PDR confir med that, from the date of accession, 
pricing policy (including price controls) in  Lao PDR would be applied in compliance 
with the WTO Agreement, including Ar ticle III:4 and XI:1 of the GATT 1994, 
Article VIII of the General Agreement on Trade in Services (GATS), and Article 4 of the Agreement on Agriculture.  He further conf irmed that, to this end, in the application 
of price controls, Lao PDR would take account of the interests of exporting WTO Members as provided for in Article III:9 of the GATT 1994.  Lao PDR would publish the list of goods and services subject to State price control and any changes to 
this list in its Official Gazette and would co ntinue to do so after accession.  The Working 
Party took note of these commitments.] 
 [xx. The representative of Lao PDR confir med that, from the date of accession, 
Lao PDR would apply price controls in a WTO-consistent fashion, including with 
Articles III:4 and III:9 of the GATT 1994, and Article 4 of the Agreement on 
Agriculture, and with Article VIII of the General Agreement on Trade in Services 
(GATS), and take account of the interests of exporting WTO Members.  Lao PDR would also publish the list of goods and services subject to price control and any changes to this 
list in its Official Gazette.  The Working Party took note of these commitments.] WT/ACC/LAO/24 
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  Answer: 
Lao PDR accepts the proposed commitment language below:  
"xx. The representative of Lao PDR confirme d that, from the date of accession, Lao PDR 
would apply price controls in a WTO-consiste nt fashion, including with Articles III:4 and 
III:9 of the GATT 1994, and Article 4 of the Agr eement on Agriculture, and with Article VIII 
of the General Agreement on Trade in Services (GATS), and take account of the interests of 
exporting WTO Members.  Lao PDR would also publish the list of goods and services subject 
to price control and any changes to this list in  its Official Gazette.  The Working Party took 
note of these commitments." 
Question 9  
We thank Lao PDR for its response to Question 4 of document WT/ACC/LAO/20 and look 
forward to seeing the results of its rev iew of the minimum price for rice.   
Answer: 
Please see the response to Question 7. 
IV. POLICIES AFFECTING TRADE IN GOODS 
- Trading Rights  
Question 10  We appreciate the Decree on Import and Export of Goods that Lao PDR has submitted for 
Working Party Review.  We provided Lao PDR with  comments on an earlier version of this 
document, but many of these comments were not addressed in the current version.  We request 
that Lao PDR please address the following quest ions and comments (Questions 10 to 22) in 
writing.   
On page 2, Article 3, paragraph 12 on "Trans parency", while we appreciate that transparency 
is one of the principles governing the administration of import and export, where is this principle made operational?  Where are the deta ils on how and when relevant stakeholders will 
participate in issuing rules?  How and when will rules and measures be disclosed to the public?   
Answer: 
The transparency principle is already operational in  separate legislation:  Decree No. 180/PM of 
7 July 2009 "On Import Licensing Procedures" and Decree No. 363/PM of 19 August 2010 "On Notification and Enquiry of Trade-Related In formation" all of which are in line with the 
transparency principle of WTO agreements.  The tr ansparency is also ensured by the publication of 
laws and regulations on import a nd export on the following website of the Ministry of Industry and 
Commerce:  www.moic.gov.la.  Under the Trade Development Facilities programme, Lao PDR is 
developing a Trade Portal which will publish all trad e-related laws and regula tions, expected to be 
launched by June 2012.  For example, Article 4 of Decree No. 180/PM establishes that "import 
licensing shall be prescribed and administered in a simple, transparent, fair and impartial manner", 
and mandates the publication of all rules and info rmation concerning procedures for submission of 
applications, the eligibility criteria for applicants, the list of goods subject to import licensing, as well 
as any changes to the procedures or lists of goods, prio r to coming into effect, if possible 21 days in 
advance.   WT/ACC/LAO/24 
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  Question 11  
On page 3, Article 7, on what basis will decision s to prohibit the import or export of goods be 
made?  What are the specific criteria and procedures for such actions?   
Answer: 
The prohibition of import or export will be based on the principles set-out under Article 4 of this 
Decree and as further developed under Notifi cation No. 0973/MOIC.DIMEX of 25 May 2011 
"On Goods prohibited from Import or Export".  Pu rsuant to Articles 4, 6 and 11 of Decree 
No. 114/GoL of 6 April 2011 "On Import and Export of Goods", the Ministry of Industry and Commerce must consult with othe r relevant parties to determin e the list of goods prohibited for 
import or export.  The list needs to be adjusted , based on the circumstances which give rise to 
introduction of such measure.  The consideration of  such necessity must co mply with international 
obligations of Lao PDR as required under Article 4 of Decree No. 114/GoL of 6 April 2011 
"On Import and Export of Goods".   
Question 12  
On page 3, Article 9, please specify the specific regulation in which the procedures on SPS and 
TBT certification are set-out.  Please also clarify,  in the text of the Decree, that Lao PDR's 
procedures for certification comply with in ternational obligations and standards.  
We recommend the following text be added to this Article: 
 "Any SPS/TBT measures will comply with relevant international obligations and the 
Lao PDR's SPS measures will be based on standards, recommendations and guidelines developed by the relevant international organ izations, including the Codex Alimentarius 
Commission, the World Organisation for Animal Health and the International Plant 
Protection Convention".   
Answer: 
Principles as set-out in Article 4 of the Decree re quire that any regulations implementing the Decree 
will have to comply with Lao PDR's internationa l obligations.  Therefore, any SPS/TBT measures 
should comply with relevant international obl igations of Lao PDR, including standards, 
recommendations and guidelines developed by the rele vant international organizations, including the 
Codex Alimentarius Commission, the World Organisa tion for Animal Health and the International 
Plant Protection Convention.  Similar requirements ar e provided in other relevant laws such as:  Food 
Law, Plant Protection Law and Standardization Law.  The implementing regulations of those laws are 
being drafted as reflected in SPS and TBT Action Plans.  
Question 13  On page 4, Article 11, what are the procedures used to develop the lists identified in this 
Article?  Will there be an opportunity for WT O Members and other stakeholders to review and 
provide comments on these lists prior to their adoption?   
Answer: 
All government agencies concerned with import or  export are invited to provide the list of goods 
controlled by their own agencies, while requesting the reasons for the inclusion of these goods for 
their control.  Then, this list is revised  for its compliance with WTO provisions.  WT/ACC/LAO/24 
Page 6  
 
  The private sector is consulted through their repr esentatives together with the ministries, as provided 
for in Decree No. 180/PM for import licensing list and Decree No. 363/PM in general.  
The obligation to comply with Article 4.4 (complian ce with treaties to which Lao PDR is a party) of 
the Decree No. 114/GoL will ensure the transparency  of Lao PDR in accordance with its international 
obligation.  Lao PDR is developing its transparen cy system.  The current regulations implementing 
the transparency with respect to import and export are:  Decree No. 180/PM of 7 July 2009 
"On Import Licensing Procedures" and Decree No. 363/PM of 19 August 2010 "On Notification and 
Enquiry of Trade-Related Information". 
Question 14  
On page 4, Article 12, paragraph 6, please clarify whether these petitions applications are for 
import and export licenses, or if they are peti tions to have items removed from the list requiring 
an import or export licence.  Also, this may be a translation error, but "response" should be 
changed to "respond".  With respect to par agraph 10, please specify which legislation and 
regulations apply.   
Answer: 
These petitions are for any issues related to the administration of import and export including the 
removal of any item from the list requiring an import  or export licence.  This Article 12 should be 
read in conjunction with Article 15 of the same decree.  The detailed procedures for petitions are 
provided for under the Law No. 07/NA of 9 November 2005 "On Petition Handling". 
The error, "response", should be correctly  been reflected as commented accordingly. 
With respect to paragraph 10, please note that this is  standard language, to pr ovide that depending on 
the matter at hand, all relevant legislation applies, avoiding the enumeration of all applicable laws and 
regulations. 
Question 15 
On page 5, Article 13, paragraph 2, please clarify the intention of this Article.  Does this mean 
that a SPS certification can come from the appropriate Import or Export administration 
authority or from any certification authority that meets international standards and is in the 
exporting country or a third party?  Please insert text clarifying that measures and technical 
regulations are based on international standa rds, recommendations and guidelines developed 
by relevant international organizations and will comply with Lao PDR's international 
obligations.  
Answer: 
Specifically, in case of import, it means that the SPS certification has to come from the competent 
authority of the exporting country and test reports from accredited laboratories in the exporting countries or third party attesting to characteristics of  the goods as required in certification.  In case of 
export, the competent authority of Lao PDR has to provide the certification and appropriate test report 
to comply with the requirements of importing countries.   
For request in inserting additional text , please see the response to Question 12.  WT/ACC/LAO/24 
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  Question 16 
On page 5, Article 14, please specify which laws and regulations apply.   
Answer: 
This is the standard language of Lao PDR's legislat ions to simply mean that the legislation governing 
distribution is a separate legislation (currently Decree No. 206/PM of 11 October 2001 
"On Distribution Business").  The rationale of not speci fying the relevant laws/regulations is that such 
laws/ regulations may be changed, re pealed or replaced with different names.  So it is more practical 
not to mention the detailed references of such la ws/regulations to avoid unnecessary amendment of 
this Decree. 
Question 17 
On page 5, Article 15, please clarify what is included in the scope of damage?  Does it only 
include physical damage to the good?  Further, is there only the ability to petition to the same 
authority in question?  Is there a right of appeal?   
Answer: 
This Article provides a general principle to petition for the damage of goods, but it does not 
specifically deal with damages.  The relevant  law for this matter is the Law No. 01/NA of 
8 December 2008 "On Contract and Tort Law"  which provides details on the components of 
claimable damages, including physical damages and profit loss. 
The petition is handled under the Law No. 07/NA of  9 November 2005 "On Petition Handling" which 
provides details on ability to petition and appeal to th e relevant administrative authority, to the court 
or to the National Assembly. 
Question 18 On page 6, Article 16, paragraph 1, please specify the other relevant laws and regulations.   
Answer: 
This is standard language, to provi de that depending on the matter at  hand; all relevant legislation 
applies, avoiding the enumeration of all applicable laws and regulations.  Please see also response to 
Question 16. 
Question 19 
On page 6, Article 17, paragraph 2, and Ar ticle 18, paragraph 2, please clarify whether 
"a different category" refers to a different HS classi fication or if this reference is to something 
else.  Article 18 appears to have misnumbered paragraphs.   
Answer: 
Yes, "a different category" refers to a different HS classification. 
Regarding Article 18, Lao PDR thanks for the comments.   WT/ACC/LAO/24 
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  Question 20 
On page 6, Article 19, paragraph 2, is it Lao PDR's intention that each shipment will be under 
constant surveillance by Customs officers or  just at entry and exit points?   
Answer: 
The surveillance is not constant.  The surveillance re fers to the sealing of the goods upon their entry 
for transit, and the confirmation of the un-tampered seal upon exit from the country. 
Question 21 
On page 7, Article 21, paragraph 1, please provide  further clarification as to the circumstances 
under which an authorization could be made.   
Answer: 
The circumstances of authorization vary according to  the necessity for use of such goods.  In case the 
import or export of such goods is necessary, importe r or exporter may file an application along with 
documents justifying such necessity to the releva nt authority and under re levant regulations as 
specified in Annex 1 of Notification No. 0937/M oIC.DIMEX of 25 May 2011 "On Goods prohibited 
from Import or Export" for recommendation for a pproval to the Government of Lao PDR.  
Question 22  On page 7, Article 22, please clarify what types of awards and other benefits may be available.  
Would these include more expedited process es or fewer inspections or lower bonding 
requirements?   
Answer: 
This is the standard language of Lao PDR's legislati on.  The "award and benefit" refers to a certificate 
awarded by the relevant authorities indicating the co mpliance with laws by the awarded.  Such award 
and benefit do not provide any favour able or discriminatory treatment with respect to the application 
of this Decree. 
Question 23  
Paragraph 51 notes that Prime Minister's De cree No. 68/PM of 28 April 2008 implemented 
the 2005 Enterprise Law.  Has Lao PDR provided the Working Party with a copy of this 
Decree?  We request that Lao PDR please do so if it has not.   
Answer: 
Lao PDR has provided this Decree to the Work ing Party.  See document WT/ACC/LAO/24/Add.1. 
Question 24 
Lao PDR explained during the July 2011 Working Party Meeting that paragraph 52 of the 
Elements of the Draft Working Party Report on ly sets-out the registration requirements for 
business registration.  Are there any registration requirements for prospective importers of record?    WT/ACC/LAO/24 
 Page 9 
 
 
  Answer: 
There are no any other registration requirements for pr ospective importers of record.  Lao PDR is in 
the phase of studying the necessity to establish the registration regulation for prospective importers of 
record. 
A. IMPORT REGULATIONS 
- Tariff rate quotas, tariff exemptions 
Question 25  We note Lao PDR's explanation that it does not currently apply tariff rate quotas on any 
product.  Could Lao PDR please provide informat ion on whether it plans to introduce such 
quotas in the future?   
Answer: 
Lao PDR currently has no TRQs in place.  Howeve r, it reserves the right to use such measures as 
permitted by and in compliance with the WTO Agreements.  
- Fees and charges for services rendered  
Question 26 
We thank Lao PDR for its proposed commitme nt language in response to Question 10 of 
document WT/ACC/LAO/20.  We have some revi sions to this text, and propose the following 
commitment language: 
 "xx. The representative of Lao PDR confirme d that, from the date of accession, all 
fees and charges for services rendered, applied on  or in connection with importation or 
exportation, would conform with the provisi ons of the WTO Agreement, in particular 
Articles VIII and X of the GATT 1994.  The Working Party took note of this 
commitment." 
Answer: 
Lao PDR accepts the proposed commitment language. 
Question 27 
Can Lao PDR please confirm that those fees listed in the Table 7 (of document 
WT/ACC/SPEC/LAO/4/Rev.1) are the only fees that  Lao PDR charges on or in connection with 
importation and exportation?  If not, please provide a complete list of fees charged in 
connection with importation and exportation.   
Answer: 
Lao PDR confirms that the fees listed in the Tabl e 7 are the only fees that Lao PDR charges on or in 
connection with importation and exportation.   
Please see also response to Question 26. WT/ACC/LAO/24 
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  Question 28 
Does Lao PDR have legislation or regulations related  to the fees that Lao PDR charges on or in 
connection with importation and exportation?  If so, we request that Lao PDR please submit 
this documentation to the Working Party for review.   
Answer: 
Presidential Edict No. 03/PO of 19 November 2008 "O n Fees and Services Char ges" sets-out all fees 
and charges on or in connection with importati on and exportation which ha ve already included in 
Table 7 of the Elements of a Draft Working Part y Report (document WT/ACC/SPEC/LAO/4/Rev.1).  
The Presidential Edict is being re vised and its adoption is expected  by September 2012.  After its 
adoption, Lao PDR will submit it to the Working Party.  
- Application of internal taxes to imports Question 29  Paragraph 64 of document WT /ACC/SPEC/LAO/4/Rev.1:  Lao PDR noted that excise duties 
ranging from 5 to 90 per cent are levied on fuels,  alcoholic and non-alcoholic beverages, tobacco 
products, perfumes and cosmetics, playing card s, fireworks, motor vehicles, recreational boats, 
electrical appliances and certain services in accordance with the 2005 Tax Law, Article 28.  
The goods and services subject to excise tax are liste d in Table 8.  Lao PDR stated that these tax 
rates do not distinguish between import ed and domestically-produced goods.   
- Could Lao PDR explain whether it plans to  modify the current Tax Law, and if so, 
confirm whether non-discrimination betw een domestic and imported goods would 
continue to apply in any future drafts?   
Answer: 
Lao PDR has amended the current Tax Law and conf irms that non-discrimination between domestic 
and imported goods continues to apply in the am ended law which was adopted by the National 
Assembly in December 2011.   
- Quantitative import restrictions, including  prohibitions, quotas and licensing systems 
Question 30  
In paragraph 70, Lao PDR explained the policy of indicative import plans.  Could Lao PDR 
clarify whether this applies to foreign traders operating in Lao PDR?   
Answer: 
Lao PDR reiterates that the indicative import plan mechanism had been abolished through Ministerial 
Order No. 0453/MOIC.DIMEX of 26 March 2007 (please refer to the last sentence of paragraph 70 of 
the Elements of a Draft Working Party Report in document WT/ACC/SPEC/LAO/4/Rev.1).  WT/ACC/LAO/24 
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  Question 31 
In paragraph 71, Lao PDR advised that used goods, which were previously listed as prohibited 
imports would be moved from the list of goods subj ect to import prohibition to the list of goods 
subject to non-automatic licensing.  We note  that these goods have been removed from the 
prohibited import list, however the newly issued list of goods subject to non-automatic licensing 
(Notification No. 0826/MOIC.DIMEX of 3 May 2011 "On the Automatic and Non-automatic 
Licensing of Import and Export of Goods") does no t contain many of these used goods.  It only 
contains refrigerators and HS Chapter 84 goods. 
Can Lao PDR confirm that the used goods which are not mentioned (e.g. garments, shoes, 
clothes, electronic goods, electrical appliances a nd interior decorating items) will no longer be 
subject to non-automatic import licensing? 
Answer: 
Lao PDR confirms that goods, which are not mentione d in the non-automatic import licensing list, are 
not subject to non-automatic import licensing. 
Lao PDR has reviewed its import licensing regime and removed several items from the non-automatic 
licensing list to automatic licensing list under Notif ication No. 0076/MOIC.DIMEX "On the List of 
Goods subject to Automatic and Non-automatic Impor t-Export Licensing" of 13 January 2012, a copy 
of which has been provided to the Working Party (document WT/ACC/LAO/24/Add.1). 
Question 32 
Table 10 (of document WT/ACC/SPEC/LAO/4/Rev.1) lists rice as a good subject to 
non-automatic import licensing which is maintain ed in the most recent list of goods subject to 
non-automatic import licensing (3 May 2011).   
- Could Lao PDR outline how non-automatic im port licensing of rice meets the purpose 
stated, "for protection of stability of socio-economy and food supply"? 
- What criteria will be applied to obtain an import licence for rice? - Will suppliers need to submit volumes of rice to be imported? 
- Can Lao PDR update Notification No. 082 6/MOIC.DIMEX to provide information 
about these questions? 
Answer: 
Lao PDR has included rice in the automatic licensi ng regime instead of non-automatic licensing 
regime under Notification No. 0076/MOIC.DIMEX "On the List of Goods subject to Automatic and 
Non-automatic Import-Export Licensing" of 13 January  2012, a copy of which has been provided to 
the Working Party (document WT/ACC/LAO/24/Add.1) .  The Government's policy does not intend to 
limit or restrict the volume of rice import.   
Please refer to the Import Licensing Questionnaire (document WT/ACC/LAO/25) for the criteria and 
procedures to obtain an import licence for rice. WT/ACC/LAO/24 
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  Question 33 
In paragraph 75, Lao PDR stated that Article 6 of Decree No. 180/PM on Import Licensing 
Procedures addressed the requirements of Article 2.2(b) of the Agreement on Import Licensing 
Procedures.  Can Lao PDR provide an explanation of how Article 6 operates? 
Answer: 
Under Article 6.4 of Decree No.180/PM of 7 July 2009 "On Import Licensing Procedures", the 
Ministry of Industry and Commerce must consult with  other relevant line ministries to determine the 
list of goods subject to automatic import licensi ng.  The consultation may be held annually, and 
extraordinarily, upon request of the relevant ministry , to review whether the list needs to be adjusted, 
based on the circumstances which give rise to in troduction of such import licensing measure.  
The consideration of such necessity must comply  with international obligations of Lao PDR as 
required under Article 4 of Decree No. 114/GoL of 6 April 2011 "On Import and Export of Goods".  
Question 34 
In paragraph 76, the representative of the Lao PDR stated that a draft response to the 
Questionnaire on Import Licensing Procedures was being prepared which would be submitted 
by the end of 2011.  Can Lao PDR provide an update on when the Questionnaire will be 
completed so that the Working Party can take account of it? 
Answer:  
The Questionnaire on Import Licensing Procedures has been submitted to the Working Party.  
See document WT/ACC/LAO/25. 
Question 35  
Paragraphs 72 to 76 of document WT/ACC/SPE C/LAO/4/Rev.1:  We take good note of 
Lao PDR efforts to further revise and adjust its licensing regime.  In view of the new 
modifications made, it would be useful if Lao PDR could clarify some aspects, notably 
concerning non-automatic licensing procedures:   
- Could Lao PDR justify the use of non-automatic licensing on a still long number of 
products, including timber machines, rice,  refrigerators and ice makers, amongst 
others? 
Answer: 
Lao PDR has reviewed its import licensing regime and removed several items from the non-automatic 
licensing list to automatic licensing list unde r Notification No. 0076/MOIC.DIMEX of 
13 January 2012 "On the List of Goods subject to  Automatic and Non-automatic Import and Export 
Licensing", a copy of which has been provided to the Working Party (document 
WT/ACC/LAO/24/Add.1).  The import of such goods does not require any discretion from the relevant authority. 
Lao PDR proposes the following language: 
[xx. The representative of Lao PDR confirme d that, from the date of accession, Lao PDR's 
import licensing regime would conform to the provisions of the WTO Agreement on Import 
Licensing Procedures.  The Working Party took note of this commitment.]   WT/ACC/LAO/24 
 Page 13 
 
 
  Question 36  
Could Lao PDR complete the HS codes subject to  non-automatic licensing?  For instance, we 
note that the related HS codes have not been provided for chemicals used in industry, medical 
natural resources, amongst others, as per Table 10.   
Answer: 
Lao PDR takes note of the Member's comment.  See the revised list in Notification 
No. 0076/MOIC.DIMEX of 13 January 2012 "On th e List of Goods subject to Automatic and 
Non-automatic Import-Export Licensing", a copy of which has been provided to the Working Party 
(document WT/ACC/LAO/24/Add.1). 
Question 37 
Could Lao PDR explain how these lists may be updated, i.e. how new products can be included 
to this list?  For instance, would any update follow a consultation process with affected 
stakeholders?   
Answer: 
Pursuant to Articles 6 and 11 of Decree No. 114/GoL of 6 April 2011 "On Import and Export of 
Goods", the Ministry of Industry and Commerce must  consult with other relevant line ministries to 
adjust the lists.  The consultation is held annuall y or extraordinarily, upon request of the relevant 
ministry, to review whether the lists need to be ad justed, based on the circumstances which give rise 
to introduction of such measure.   
The private sector is consulted through their repr esentatives together with the ministries, as provided 
for in Decree No. 180/PM for import licensing list a nd Decree No. 363/PM in general.  There is a 
specific timeframe to receive comments (within at least 60 days before adoption) and a specific 
timeframe to publish these lists (at le ast 180 days prior to publication). 
Question 38  
The Notification on the Automatic and Non-automa tic Licensing of import and Export of Goods 
indicates that the "licensing consideration shall be based on a first-come, first-served basis".   
- Could Lao PDR share some details on ho w this is implemented in practice?  
Does Lao PDR make the list of importers to whom licenses have been granted public?   
Answer: 
Lao PDR does not apply quota restrictions.  Therefor e, the licensing consideration is not based on the 
rule "first-come, first-served basis" and requirements thereof.  Please see Notification 
No. 0076/MOIC.DIMEX of 13 January 2012 "On th e List of Goods subject to Automatic and 
Non-automatic Import-Export Licensing", a copy of which has been provided to the Working Party 
(document WT/ACC/LAO/24/Add.1). 
Question 39 
The Decree on Import and Export of Goods provid es for the rights to appeal, as stipulated in 
Article 15.  What are the minimum and maximum time periods for processing applications for 
any damages caused by non-compliant practices of officers?   WT/ACC/LAO/24 
Page 14  
 
  Answer: 
The application processing period is specified in  Law No. 7/NA of 9 November 2005 "On Handling 
of Petition" which requires that an administrative pe tition must be considered within 20 days of the 
receipt of such petition. 
Question 40 
Article 16 of the Decree on Import and Export of Goods points to the obligations of the importer 
and exporter, and in particular, to the obligations to provide relevant information on their import or export upon request of the administration authorities.   
- Could Lao PDR confirm whether this obligation may comprise the submission of any 
other documents than those required for customs purposes?   
Answer: 
Lao PDR confirms that this obligation does not co mprise the submission of other documents than 
those required for customs purposes.   
Question 41  
We note that in paragraph 76 of WT/ACC/SPE C/LAO/4/Rev.1, Lao PDR explains that its 
response to the Questionnaire on Import Licensi ng Procedures was being prepared and that it 
would be submitted to the Working Party by the end of 2011.  What is the current status of 
Lao PDR's preparation of this questionnaire?  We  note that this section of the Elements of a 
Draft Working Party Report requires the addition al details that will be provided by Lao PDR's 
answers to this questionnaire, and we request that Lao PDR please submit it well in advance of the next Working Party Meeting.   
Answer: 
The Questionnaire on Import Licensing Procedures has been submitted to the Working Party.  
See document WT/ACC/LAO/25. 
Question 42 
We appreciated Lao PDR's responses during the Ju ly Working Party meeting indicating that 
the revised list of goods subject to licensing is contained in Notification 
No. 0826/MOIC.DIMEX, as referenced in paragr aph 26 of the Elements of a Draft Working 
Party Report.  We also appreciate Lao PDR's co nfirmation that those goods listed in Table 10 
on Goods subject to non-automatic import licensing and Table 11 on Goods subject to 
automatic import licensing are the only goods that  require an import li cence in order to be 
imported into Lao PDR.   
Answer: 
Lao PDR has reviewed its import licensing regime  and adjusted the import licensing lists under 
Notification No. 0076/MOIC.DIMEX of 13 January 2012 "On the List of Goods subject to Automatic 
and Non-automatic Import and Export Licensing"  which has already been submitted to the 
Working Party (document WT/ACC/LAO/24/Add.1).  Such adjustment should be reflected in 
Table 10 and Table 11 accordingly.  Lao PDR confirms  that those goods listed in Table 10 on Goods  WT/ACC/LAO/24 
 Page 15 
 
 
  subject to non-automatic import licensing and Ta ble 11 on Goods subject to automatic import 
licensing are the only goods that require an import licence in order to be imported into Lao PDR. 
Question 43  
We thank Lao PDR for the revised list of goods subj ect to licensing, as contained in Notification 
No. 0826/MOIC.DIMEX.  We would appreciate addi tional clarification regarding the purpose 
behind several automatic licensing requirements such as those on cars and car parts, wood 
processing machines, and cement, mo rtar and concrete.  Specifically, 
- How do automatic import licenses speed up th e customs clearance process for cars and 
car parts, as well as for cement, mortar and concrete?  How was it determined that these 
products needed import licenses in ord er to provide for quicker customs clearance?  
- Lao PDR indicates that import licenses are required for wood processing machines for 
the purpose of:  "administration of import to be in line with production target".  Please 
elaborate on what is meant by "administration of import to be in line with production target."  
Answer: 
Lao PDR has reviewed its import licensing regime  and adjusted the import licensing lists under 
Notification No. 0076/MOIC.DIMEX of 13 January 2012 "On the List of Goods subject to Automatic 
and Non-automatic Import and Export Licensing" , a copy of which has been provided to the 
Working Party (document WT/ACC/LAO/24/Add.1).  Justifications for automatic import licensing 
regime, including for cars, wood processing machines, cement, mortar and concrete are only for statistical and import monitoring purposes.  See also the Import Licensing Questionnaire.   
Question 44  Concerning document WT/ACC/SPEC/LAO/4/Rev. 1, Annex 1, Non-automatic licensing 
(Table 14):  Lao PDR lists rice as requiring a no n-automatic licence for both  import and export.  
However, although the description only mentions  rice, the HS code lists both 1005.90 and 1006.  
HS 1005.90 is not rice; it is corn.  Please clar ify if corn (under HS 1005.90) requires a licence for 
import and export.   
Answer: 
Lao PDR takes note of the Member's comments.  Please be informed that corn does not require a 
licence for import or export.  
- Customs Valuation 
Question 45  
Paragraphs 77 to 81 of document WT/ACC/SPEC/LAO/4/Rev.1: 
We note that Lao PDR has extended the timeframe by which it expects to duly apply the 
Customs Valuation Agreement (CVA).  Lao P DR has noted that it will bring its legal 
framework into compliance with the Agreement by December 2012, while full implementation is to take place by December 2015.  
- Could Lao PDR elaborate on the reasons for having extended the necessary time period, 
and indicate the obstacles and problems faced  that made necessary such extension?   WT/ACC/LAO/24 
Page 16  
 
  - In what areas does Lao PDR consider rele vant technical assistance by Members most 
necessary? 
Answer: 
Lao PDR has made significant progress in complying with the CVA by issuing the following laws and 
regulations:  
- Customs Law No. 05/NA of 20 May 2005 (amendment of which has been adopted by the 
National Assembly in December 2011 but not yet promulgated by the President);  
- Instruction No. 1398/MOF of 16 June 2010 "On Customs Valuation"; - Instruction No. 2401/CD of 29 Septembe r 2010 "On Customs Valuation for Imported 
Goods"; 
- Decision No. 0295/MOF of 26 September 2011 "On the Use of Customs Declaration Form 
for Imported Goods subjected to Duties and Taxes"; and  
- Instruction No. 0266/CD of 4 November 2011 "On the Completion of the Customs 
Declaration Form". 
Full implementation of the CVA is, however, a signi ficant challenge to Lao PDR from various angles 
relevant to technical, organiza tional and institutional aspects.  
It is the first time that Lao PDR activates a system that demands introduction of modernized 
techniques of control and management on assessm ent of value of goods as well as adjusting the 
national legal framework for effective implemen tation.  Although it mostly concerns customs 
intervention, the matter is, by nature, a cross-sect or issue dealing with those beyond the customs 
portfolio such as accounting standards and practices a pplicable in the country as well as those related 
to other sectors such as investment.  
It is important to look at the impl ementation from the following perspectives:  
1. Technical readiness of users of the Customs Valuation System (traders, importers, 
freight-forwarders, and the like);  
2. Technical readiness of the customs personnel;  
3. Readiness of the technical support system  as well as safeguard measures in protecting 
legitimate collection of revenues for ec onomic growth of the country; and  
4. Organizational structure of the impl ementation and related institutional issues.  
Currently the World Bank and international organiza tions assist Lao Customs in meeting international 
requirements, and in explaining these issues to trader s, investors and customs officers.  In addition, 
taking into account the current capability of implem entation of customs valuation in accordance with 
this WTO instrument, it is important to upgrade the legal framework for it.  Lao Customs is conscious 
of some of issues with the legislation that were pointed out by Working Party Members.  To that end, Lao Customs continues to progressively upgrad e national regulations and mechanisms of 
implementation taking into account th e current level of development.  Please also refer to the updated 
CVA Action Plan (see document WT/ACC/LAO/12/Rev.4). 
It is also expected that specialized trainings on customs valuation will be carried out on an ongoing 
basis to strengthen the technical capacity of cust oms officers and their implementation capability.  
Trainings for traders have been also scheduled as part of this programme. 
Lao PDR needs technical assistance and international best practices as well as provision of physical 
infrastructure in the establishment of the cust oms value database as well as support to equip 
Lao Customs with analytical skills in assessing the value of goods.  WT/ACC/LAO/24 
 Page 17 
 
 
  Lao PDR takes the concern of WTO Members and would like to propose the following commitment 
language:  
[xx. The representative of Lao PDR confirme d that, from the date of accession, Lao PDR 
would fully apply the WTO provisions con cerning customs valuation, including the 
Agreement on the Implementation of Artic le VII of the GATT 1994 and Annex I 
(Interpretative Notes).  Lao PDR would ensure  that any customs valuation method to be 
applied would be in accordance with these WTO ru les.  In this regard, he confirmed that 
reference prices and fixed valuation schedule a pplied to imports in lieu of the transaction 
value to determine customs valuation will be  eliminated by accession and would not be 
reintroduced and that all methods of valuation u sed would be in strict conformity with those 
provided for in the WTO Customs Valuation Agreement.  The Working Party took note of 
these commitments.] 
Question 46 
Lao PDR continues to rely on the use of reference price list of minimum values, although this 
practice was announced to be phased out by 2011.   It seems that refe rence prices are still 
applied to a number of products, including motor vehicles, luxury goods (such ach liquor, beer, 
wine, perfumes), and construction material s.  Lao PDR confirmed during the last 
Working Party of 29 June that reference pric es would be eliminated by December 2012.  
- Could Lao PDR explain why the phasing out of reference prices has been delayed?  
- Could Lao PDR provide information concerning the number of products currently 
subject to reference prices?  Are products su ch as liquor, beer and wine still affected by 
references prices?   
Answer: 
The use of reference pri ces lists or minimu m values was being phased out.  The number of products 
subject to reference prices had been  substantially reduced from 2,000 ta riff lines (HS 8 digits) in 2009 to 
800 tariff lines in 2010.  
In 2011, the reference prices for general goods an d luxury goods including liquor, beer and wine were 
eliminated.  
For 2012, the reference price is only limited to six items of vehicles and fuel as follows: 
No. Type of goods 
 I. Vehicles 
1. Sedan (all kinds) 
2. Pick-up (all kinds) 
3. Minibus with 16 seats and lower 
4. Jeep (all kinds) 
 II. Fuel (all kinds), except oil, lubricants 
5. Gasoline 
6. Diesel 
 
The reference price for vehicles will be eliminated by 31 December 2012 and for fuel upon WTO 
accession. WT/ACC/LAO/24 
Page 18  
 
  Question 47 
Does Lao PDR currently have a system in place for determining and/or accepting customs 
values based on transaction value of imports?   
- If so, what percentage of imports is determined using the transaction value?  
- If not, when does Lao PDR plan to begin using transaction value for at least some 
imports? 
Answer: 
From 2010 Lao PDR has been applying the tran saction value for products imported from ASEAN 
countries and other countries with which Lao PDR has concluded relevant FTAs.  These imports 
account for most of Lao PDR's international trade.  In addition, Lao PDR has phased out the use of 
reference prices from 2011 to 2012 for all remaining items.  See also the responses to Questions 46 
and 48 for the list of reference prices and re gulation implementing the customs valuation, 
respectively.  
There is no statistical information on the percen tage of imports subject to the application of 
transaction value. 
Question 48  We note that Article 1 of the Instruction of the Minister of Finance on Customs Valuation, 
No. 1398/PM, dated 16 June 2010 states that in order to implement customs valuation of goods in accordance with this Instruct ion, the Interpretative Notes sh all apply.  We appreciate this 
reference to the Interpretative Notes of the Customs Valuation Agreement (CVA) in Lao PDR's 
Instruction, but the Interpretative Notes themse lves do not appear to be incorporated into 
Lao PDR's legislation.  What steps is Lao PDR taking to reflect the Interpretative Notes in its 
legislation?   
Answer: 
Further to the Regulation 1398/MOF of 16 June 2010, th e following legislations have been adopted to 
implement the Interpretative Notes: 
- Instruction No. 2401/CD of 29 Septembe r 2010 "On Customs Valuation for Imported 
Goods"; 
- Decision No. 0295/MOF of 26 September 2011 "O n the Use of Customs Declaration Form 
for Imported Goods subjected to Duties and Taxes"; and  
- Instruction No. 0266/CD of 4 November 2011 "On the Completion of the Customs 
Declaration Form".  
These regulations are being translated and w ill be submitted to the Working Party.   
Question 49  
Articles 15.2(c), (d), (e) and Article 15.5 of the CVA do not appear to be incorporated in 
Lao PDR's legislation.  What steps is Lao PDR taking  to reflect these Articles in its legislation?    WT/ACC/LAO/24 
 Page 19 
 
 
  Answer: 
Lao PDR intends to issue a new regulation on cust oms valuation of imported goods by June 2012 to 
implement Instruction No. 1398/MoF of 16 June 2010 , which will replace Instruction No. 2401/CD of 
29 September 2010 and reflect Articles 15.2(c), (d) a nd (e) and Article 15.5 of the CVA.  See timeline 
in CVA Action Plan (document WT/ACC/LAO/12/Rev.4). 
Question 50   Article 1.2(a) of the CVA states that in determining whether the transaction value is acceptable, 
the fact that the buyer and seller are related with in the meaning of Article 15 shall not in itself 
be grounds for regarding the transaction value as unacceptable.  Additionally, the CVA states 
that if, in the light of information provided by the importer or otherwise, the customs 
administration has grounds for considering that the relationship influenced the price, it shall 
communicate its grounds to the importer and the importer shall be given a reasonable 
opportunity to respond.  If the importer, so reque sts, the communication of the grounds shall be 
in writing.  Lao PDR's legislation does not appear to reflect these principles.   
- Please specify where these principles are contained in Lao PDR's legislation, or what 
steps Lao PDR is taking to reflect these principles in its legislation.  
Answer: 
These principles are contained in Articles 66 to 70 of  the 2011 revised Customs Law which awaits the 
promulgation by the President.  
In addition, the draft regulation on customs valua tion of imported goods has reflected provisions of 
Article 1.2(a).  Please see Article 8.  Assessm ent of Value of Imports – Transaction Value, 
paragraphs 3, 4 and 5 below:  
"3. In determining whether the transacti on value is acceptable for the purposes of 
paragraph 1, the fact that the buyer/importer and the seller/exporter are related within the 
meaning of Article 12 shall not in itself be grounds for regarding the transaction value as 
unacceptable.  If they are related, the Cust oms Authorities/Department of Customs will 
examine the circumstances surrounding the sale /transaction in question.  As long as the 
relationship did not influence the price of impor ts being valued, the transaction value shall be 
accepted for customs purposes. 
4. If, in the light of information provid ed by the buyer/importer or available 
information, the Customs Authorities/Department of Customs has grounds for considering that 
the relationship influenced the price, it shall communicate its grounds to the importer and the 
buyer/importer shall be given a reasonable opportu nity to respond.  If the buyer/importer so 
requests, the communication of the grounds shall be in writing.  
5. In a sale between related persons, the transaction value shall be accepted and the 
goods valued in accordance with the provisions of paragraph 1 whenever the buyer/importer 
demonstrates that such value closely approximat es to one of the following occurring at or about 
the same time:   
  (i) the transaction value in sales to unrelated buyers/importers of identical or similar 
goods for export to Lao PDR;  
  (ii) the customs value of identical or si milar goods as determined under the provisions of 
Article 13; and WT/ACC/LAO/24 
Page 20  
 
    (iii) the customs value of identical or si milar goods as determined under the provisions of 
Article 14." 
Question 51  
Article 1.2(c) of the CVA states that the test valu es, referenced in paragraph 2(b) are to be used 
at the initiative of the importer and only for comparison purposes.  Also, substitute values may 
not be established under the provisions of paragra ph 2(b).  These provisions do not appear to be 
included in Lao PDR's customs legislation.  Please specify where these provisions are contained in Lao PDR's legislation, or what steps Lao PDR is taking to reflect these provisions in its legislation.   
Answer: 
Article 1.2(c) of the CVA has been reflected in Artic le 8, paragraphs 6 and 7 of the draft regulation on 
customs valuation of imported goods.  Please see below: 
"6. In applying these foregoing tests, due acc ount shall be taken of demonstrated 
differences in commercial levels, quantity leve ls, and relevant adjustments specified in 
Article 11 and costs incurred by the seller/e xporters in sales for export to Lao PDR.  
The seller/exporters and the buyer/importers in Lao PDR are not related, and these costs are not 
incurred by these parties in sales in which they are related. 
7. The tests set forth in paragraph 6 above ar e to be used at the initiative of the importer 
and only for comparison purposes on the basis of same terms and conditions of the involved transactions.  Substitute values may not be estab lished under the provisions of paragraph 6." 
Question 52  
Article 2.1(a) of the CVA refers to the transactio n value of identical goods sold for export to the 
same country of importation and exported at or about the same time as goods being valued.  This provision does not appear to be addressed in  Lao PDR's customs legislation.  Please specify 
where this provision is contained in Lao PDR's legislation, or what steps Lao PDR is taking to reflect this provision in its legislation.   
Answer: 
These principles are already contained in th e Regulation No. 2401/CD of 29 September 2010 
"On Customs Valuation for Imported Goods", Article 9. 1.  The same have been reflected in Article 13 
the draft regulation on customs valuati on of imported goods which provides that: 
 "If the customs value of goods cannot be de termined under provisions of Article 8, the 
transaction value of identical goods in a sale for export to Lao PDR a nd being imported into 
at or about the same time, at the same co mmercial level, and in substantially the same 
quantity as the goods being valued shall be used  to determine the value of imported goods as 
follows:   
 1. Where no sale is found, the transaction va lue of identical goods sold at a different 
commercial level or in different quantities or both,  adjusted to take account of the difference 
attributable to commercial level or to the qua ntity or both, shall be used under conditions 
specified in paragraph 2 of this Article;  WT/ACC/LAO/24 
 Page 21 
 
 
   2. The adjustments to the transaction value of identical goods within provisions of 
paragraph 1 above, shall be made on the b asis of demonstrated evidence (commercial 
documents such as valid price lists or sim ilar documents, among others) which clearly 
establishes the reasonableness and accuracy of th e adjustments, whether such adjustment 
leads to an increase or decrease in the value; and 
 3. Where the costs and charges referred to  in Article 11(2) of this Recommendation are 
included in the transaction value, an adjustme nt shall be made, if there are significant 
differences in such costs and charges between the goods being valued and the identical goods 
in question.  These differences arise from differe nces in distances and means of transport. 
 If more than one transaction value, or price paid or payable, of identical goods is found, the 
lowest value, or price paid or payable, shall be used." 
Question 53 
Articles 2.3 and 3.3 of the CVA state that if more than one transaction value of identical or 
similar goods is found, the lowest such value shall be used to determine the customs value of the 
imported merchandise.  These provisions do not appear to be addressed in the customs 
legislation of Lao PDR.  Please specify where these provisions are contained in Lao PDR's 
legislation, or what steps Lao PDR is taking to reflect these provisions in its legislation.   
Answer: 
The draft regulation on customs valuation on imported goods provides in its Article 13.4 that if more 
than one transaction value or price paid or payable of identical goods is found, the lowest value, or price paid or payable, shall be used.  Artic le 14.4 provides the same rule for similar goods. 
Question 54  Article 6 of the CVA states that "no Member may require or compel any person not resident in 
its own territory to produce for examination, or to allow access to, any account or other record 
for the purposes of determining a computed val ue.  However, information supplied by the 
producer of the goods for the purposes of determining the customs value under the provisions of 
this Article may be verified in another country by the authorities of the country of importation 
with the agreement of the producer and provide d they give sufficient advance notice to the 
government of the country in question and the la tter does not object to the investigation".  
This provision does not appear to be addressed in Lao PDR's customs legislation.   
- Please specify where this provision is contained in Lao PDR's legislation, or what steps 
Lao PDR is taking to reflect this provision in its legislation.   
- One option for including this provision may be in Article 4 of the Instruction of the 
Minister of Finance on Customs Valuation, No. 1398/PM, dated 16 June 2010.   
Answer: 
This principle is contained in Regulation No. 2401/CD of 29 September 2010 "On Customs Valuation 
for Imported Goods" (Article 15.2).  The same h as been reflected in Article 16.5 of the draft 
regulation which provides that: 
 "Customs authorities of Lao PDR may not require or compel any person not resident in 
Lao PDR to produce for examination, or to a llow access to, any account or other record for 
the purposes of determining a computed value.   However, information supplied by the WT/ACC/LAO/24 
Page 22  
 
  producer of the goods for the purposes of determining the customs value under the provisions 
of this Article may be verified in another country by customs authorities of Lao PDR with the agreement of the producer and provided they gi ve sufficient advance notice to the government 
of the country in question and the latter does not object to the investigation." 
Question 55  
Please note that Article 7 of the CVA requires the value to be determined on the basis of data 
available in the country of importation and consis tent with the Agreement and of Article VII of 
the GATT 1994.  These principles do not appear  to be specified in L ao PDR's legislation.  
Please specify where these principles are contained in Lao PDR's legislation, or what steps Lao PDR is taking to reflect these principles in its legislation.   
Answer: 
These principles are contained in Regulation No. 2401/CD of 29 September 2010 "On Customs 
Valuation for Imported Goods" (Ar ticle 17.1) and will be elaborated further in the draft new 
regulation on customs valuation in implemen tation the WTO Customs Valuation Agreement. 
Question 56 
Article 7.3 of the CVA states that "if the importer so requests, the importer shall be informed in 
writing of the customs value determined under the provisions of this Article and the method used to determine such value".  This provision  does not appear to be addressed in Lao PDR's 
customs legislation.  Please specify where this provision is contained in Lao PDR's legislation, or what steps Lao PDR is taking to reflect this provision in its legislation.   
Answer:  
This provision is contained in Regulation No. 2401/CD of 29 September 2010 "On Customs 
Valuation for Imported Goods" (Article 17.3).  The sa me has been reflected in Articles 4.2 and 5 of 
the draft regulation on customs valuati on of imported goods which provides that: 
"Article 4:  Declaration of va lue of goods for customs purposes 
Paragraph 2: 
The importers/buyers of goods sold for imports into Lao PDR or their authorized customs 
brokers/declarants or representatives shall have ri ghts to request notifications and information 
from customs authorities, in writing, on how to assess the value of goods of their shipments in 
five working days from the date of receipt of the request, as well as consultations with 
customs authorities when they do not agr ee with the assessed value of goods."  
"Article 5:  Right to obtain explanati ons from the Customs on the Customs Value 
When the importer/buyer requests details and information on the assessment of customs 
value, she/he has the right to written explanations by the customs authorities of Lao PDR as to how the customs value of her/his goods h as been determined and established.  
The Department of Customs/Customs author ities will provide responses to such enquiry 
within thirty days from the date of receipt of such request in writing and in any format, 
including electronic format, except when they ar e notable to do so du e to complexity of 
assessment of value of goods.  In the latter, the Customs would notify the importer/buyer or 
their authorized representatives accordingly."  WT/ACC/LAO/24 
 Page 23 
 
 
  Question 57  
Lao PDR's customs legislation appears to be missing certain provisions of the CVA which 
require importer notification or the customs author ity working with the importers.  What steps 
is Lao PDR taking to implement impo rter notifications in general?   
Answer: 
This principle is contained in Instruction No. 0266/CD of 4 November 2011 "On the Completion of 
the Customs Declaration Form" (Article 11).  
In addition, the draft regulation on customs valua tion of imported goods contains several provisions 
dealing with the notification to importers and in pa rticular, Article 5 – Rights to obtain explanations 
from the Customs on Customs Value, Article 8.4 – Assessment of Value of Imports – Transaction 
Value, Article 10 – Consultations on Determination of Customs Value of Imports, and Article 24 – 
Publication of Legislations and Regulations.  Mo reover, rulings on customs value shall be also 
published six months after their issuance, observing the principle of protection of information and 
confidentiality. 
Question 58  
Article 11 of the Instruction of the Minister of Finance on Customs Valuation, No. 1398/PM, 
dated 16 June 2010 appears to contradict the Articl e 7.2(f) of the CVA.  What steps is Lao PDR 
taking to ensure this instruction and other le gislation does not allow customs value to be 
determined on the basis of minimum customs values or other means outlined in Article 7.2?  
Answer: 
See the responses to Questions 46 and 48.  
Question 59  Articles 9 (currency), 10 (confidentiality), 12 (publication), 13 (surety), 16 (importer's right to 
explanation in writing), and the principles set-out  in General Introducto ry Commentary to the 
CVA appear not to be implemented in Lao PDR's legislation.   
- Please describe what other legislation of Lao PDR will contain these specific provisions; 
and  
- Please specify where these provisions are contained in Lao PDR's legislation, or what 
steps Lao PDR is taking to reflect these provisions in its legislation.   
Answer:  
Article 9 (currency), 10 (confidentiality), 12 (publicati on) and 13 (surety) are reflected respectively in 
Article 3, 19, 20 and 21 of Regulation No. 2401/ CD, dated 29 September 2010.  For Article 16 
(importer's right to explanation in writing), it is re flected in Article 68, 69 and 70 of the 2011 revised 
Customs Law.  
In addition, these articles have been further elaborat ed in the draft regulation on customs valuation of 
imported goods.  Please see Article 18 paragraph 3 (Exchange rate), Article  22 (Confidentiality), 
Article 24 (Publication), Article 20 (surety) and Ar ticle 5 (right to obtain explanations from the 
Customs on the customs value) of the draft regulation.   WT/ACC/LAO/24 
Page 24  
 
  Regarding incorporation of Gene ral Introductory Commentary, La o PDR has reflected them in 
various parts of the said draft regulation with a vi ew to facilitating the effective implementation.  
Please see below as an illustration. Such inclus ion reflects the spirit of General Introductory and 
Interpretative Notes 1, 2 and 3. 
Article 3, paragraph 2 of the draft regulation:   "Where the customs value of goods cannot be 
determined under the provisions regulating establis hment of the transaction value, it is to be 
determined by proceeding sequentially through the succeeding Articles to the first such Article under 
which the customs value can be determined." 
- Rules of Origin 
Question 60 
Paragraph 83 of the Elements of a Draft Working Party Report:  We kindly reiterate our 
request that Lao PDR provide an explanation regarding the meaning behind Article 11 of Customs Law No. 05/NA, which states that:  "country of origin of imported goods can be correctly determined only if there is a certificat e of country of origin and the goods are directly 
delivered from the country of origin to the impo rting country in accordance with regulations". 
- What is meant by "directly delivered from  the country of origin to the importing 
country"? 
- Specifically, please explain if La o PDR would accept a good's declaration of origin if it is 
shipped to Lao PDR from a country other than the declared country of origin?   
Answer: 
Customs Law of Lao PDR has been amended in December 2011 and no longer maintains such 
provision.  Lao PDR accepts declarations of origin of goods, regardless of whether they are shipped or 
not from their country of origin.  Please refer to Article 2 of Decree No. 228/PM on the Origin of Imported and Exported Goods, which defines the origin of goods as the place where goods are 
produced or have undergone production process.   
Question 61 
With respect to paragraph 85 of the Elemen ts of a Draft Working Party Report, both 
Article 2(h) and Annex II, paragraph 3(d) of the WTO Agreement on Rules of Origin provide 
for assessments of origin upon request of "a n exporter, importer or any person with a 
justifiable cause". 
As a result, the second sentence of paragraph 85 should read:  "The representative of Lao PDR 
confirmed that, from the date of accession [...], including the requirements of Article 2(h) and 
Annex II, paragraph 3(d) of the Agreement, whic h require provision of an assessment of the 
origin of the import upon the request of an exporter, importer or any person with a justifiable cause." 
Answer: 
Lao PDR accepts the proposed wordings and the second sentence of paragraph 85 should be properly 
reflected as:    WT/ACC/LAO/24 
 Page 25 
 
 
  "The representative of Lao PDR confirmed that, from the date of accession, Lao PDR's 
preferential and non-preferential rules of origin would comply fully with the WTO Agreement on Rules of Origin, including the requirements of Article 2(h) and Annex II, 
paragraph 3(d) of the Agreement, which require provision of an assessment of the origin of 
the import upon the request of an exporter, impor ter or any person with a justifiable cause."  
- Other Customs Formalities  
Question 62 
We request a new paragraph be inserted in this section to clarify Lao PDR's commitments with 
respect to consularization, as follows:   
"The representative of Lao PDR confirmed that Lao PDR did not require consular 
certification or notarization of documents by consular officials in the country of export 
to be provided to customs officials at the time of importation into Lao PDR, and would not require consular certification or notarization in the future.  The Working Party took note of this commitment."   
Answer: 
Lao PDR accepts the proposed commitment language.  
- Pre-shipment inspection 
Question 63  
With respect to paragraph 88 of the Elements of the Draft Working Party Report and 
Question 27 of document WT/ACC/LAO/20, we again reiterate our requ est that the below, 
underlined language be included in Lao PDR's commitment text on Pre-shipment Inspection.  
The underlined section provides clarity that Lao PDR will ensure that enterprises operating on 
its behalf comply with the provisions of the WTO Agreements.  The text also clarifies the 
relevant WTO agreements and articles that Lao PDR will comply with.  Thus, we do not believe 
that the underlined language is redundant as indicated by Lao PDR in its response to Question 27.   
 "He further confirmed that Lao PDR would ensure that such enterprises operating on 
its behalf complied with the provisions of  WTO agreements including the Agreements 
on Technical Barriers to Trade, the Appl ication of Sanitary and Phytosanitary 
Measures, Import Licensing Procedures, the Implementation of Article VII, Rules of 
Origin, the Implementation of Article VI (Anti-dumping), Subsidies and Countervailing 
Measures, Safeguards, and Agriculture".   
Answer: 
Lao PDR accepts the proposed commitment language. WT/ACC/LAO/24 
Page 26  
 
  - Anti-dumping, countervailing duties, safeguard remedies  
Question 64  
We request the following text be added at the end of paragraph 89:  "xx. He further confirmed that Lao PDR would ensure the full conformity of such 
laws and regulations with the WTO Agreement, including Articles VI and XIX of the 
GATT 1994 and the Agreements on the Implementation of Article VI, Subsidies and 
Countervailing Measures, and Safeguards.  He also confirmed that, after such laws and 
regulations were implemented, Lao PDR woul d only apply any anti-dumping duties, 
countervailing duties and safeguard measures in  full conformity with WTO provisions.  
The Working Party took note of these commitments." 
Answer: 
Lao PDR proposes the following texts to replace paragraph 89:  
[xx. The representative of Lao PDR said that  Lao PDR had no legislation authorizing the 
application of anti-dumping, countervailing, or  safeguard measures at present, but would not 
exclude the possibility that such legislation coul d be implemented in the future.  With respect 
to safeguard measures, the representative of La o PDR noted that his Government was in the 
process of drafting legislation but required a tr ansition period of up to five years after its 
accession to the WTO to enact and notify safegua rd legislation to the WTO that was in 
conformity with the provisions of the WTO Ag reement on Safeguards.  During this period 
Lao PDR would be able to impose safeguard meas ures to address serious injury or the threat 
of such injury with respect to a specific list of 63 tariff lines (HS 8-digit) in the table below, 
which are being imported into its territory in  increased quantities, absolute or relative to 
domestic production.  Lao PDR explained that, during the transition period and despite the 
lack of previously established procedures as required by Article 3.1 of the Agreement on 
Safeguards, Lao PDR would only take action gene rally in conformity with the provisions of 
the WTO Agreement on Safeguards, in particul ar with respect to the need to conduct an 
investigation which allows for all interested parties to present their views and evidence, and 
notification to the WTO upon initiating an investig atory process, prior to imposing a measure.  
He also confirmed that his Government woul d not apply any anti-dumping or countervailing 
measures until it had notified and implemented appropriate laws in conformity with the 
provisions of the WTO Agreements on the Im plementation of Article VI of the GATT 1994, 
and on Subsidies and Countervailing Measures.] 
HS Code Description 
0201.10.00 - Carcasses and half-carcasses 
0201.20.00 - Other cuts with bone in 
0201.30.00 - Boneless 
0202.10.00 - Carcasses and half-carcasses 
0202.20.00 - Other cuts with bone in  
0202.30.00 - Boneless 
0203.11.00 - - Carcasses and half-carcasses 
0203.12.00 - - Hams, shoulders and cuts thereof, with bone in 
0203.19.00 - - Other 
0203.21.00 - - Carcasses and half-carcasses 
0203.22.00 - - Hams, shoulders and cuts thereof, with bone in 
0203.29.00 - - Other 
0206.49.00 - - Other  
0206.90.00 - Other, frozen   WT/ACC/LAO/24 
 Page 27 
 
 
  HS Code Description 
0207.11.00 - - Not cut in  pieces, fresh or chilled 
0207.12.00 - - Not cu t in pieces, frozen 
0207.13.00 - - Cuts and offal, fresh or chilled 
0207.14.10 - - - Wings 
0207.14.20 - - - Thighs 
0207.14.90 - - - Other 
0207.24.00 - - Not cut in  pieces, fresh or chilled 
0207.25.00 - - Not cu t in pieces, frozen 
0207.26.00 - - Cuts and offal, fresh or chilled 
0207.27.10 - - - Livers 
0207.27.90 - - - Other 
0207.32.10 - - - Of ducks 
0407.00.11 - - Hens' eggs 
0407.00.12 - - Ducks' eggs 
0407.00.19 - - Other 
0407.00.91 - - Hens' eggs 
0407.00.92 - - Ducks eggs 
0407.00.99 - - Other 
0702.00.00 Tomatoes, fresh or chilled. 
0704.10.10 - - Cauliflowers 
0710.40.00 - Sweet corn 
0710.80.00 - Other vegetables 
0710.90.00 - Mixtures of vegetables 
0805.10.00 - Oranges 
0805.50.00 - Lemons (Citrus limon, Citrus limonum) and limes (Citrus aurantifolia,  
0807.19.00 - - Other 
0807.20.00 - Papaws (papayas) 
0813.40.00 - Other fruit  
0813.50.00 - Mixtures of nuts or dried fruits of this Chapter 
1006.10.90 - - Other   
1006.20.10 - - Thai Hom Mali rice   
1006.20.90 - - Other  
1006.30.11 - - - Whole 
1006.30.12 - - - Not more than 5% broken  
1006.30.13 - - - More than 5% but not more than 10% broken 
1006.30.14 - - - More than 10% but not more than 25% broken   
1006.30.19 - - - Other  
1006.30.20 - - Parboiled rice 
1006.30.30 - - Glutinous rice (pulot) 
1006.30.40 - - Basmati rice 
1006.30.50 - - Thai Hom Mali rice   
1006.30.61 - - - Whole 
1006.30.62 - - - Not more than 5% broken  
1006.30.63 - - - More than 5% but not more than 10% broken 
1006.30.64 - - - More than 10% but not more than 25% broken  
1006.30.69 - - - Other  
1006.40.00 - Broken rice  
2401.30.10 - - Tobacco stems  
2401.30.90 - - Other  
 WT/ACC/LAO/24 
Page 28  
 
  B. EXPORT REGULATIONS 
- Export restrictions Question 65  With regard to Questions 28 to 30 in document  WT/ACC/LAO/20 and paragraphs 90 to 91 of 
document WT/ACC/SPEC/LAO/4/Rev.1: 
As regards the recourse to export duties, and in view of written replies pr ovided, we continue to 
encourage Lao PDR to limit their use of export duties.  We take note that Lao PDR is currently revising the list of products subject to export  duties, which will be circulated soon to the 
Working Party Members.  We would like to stress the need to be fully transparent regarding 
Lao PDR's policy for export duties, as transparency is an essential obligation in WTO.  
Likewise, and as we have noted in earlier occa sions, we would invite Lao PDR to consider the 
possibility of applying alternative measures when the objective of export duties is simply to 
foster the domestic production of items subject to export duties.  
Answer: 
Lao PDR takes note of the Members' comments.  Lao PDR is revising its list of goods subject to 
export duties to correctly reflect the current situa tion, and has included it in the draft Presidential 
Edict on Export Duties.  The draft Decree has be en adopted by the Government of Lao PDR in 
June 2011 and is now at the National Assembly for its  consideration and approval.  It is expected to 
be issued by June 2012.  
Question 66 
Paragraph 92 states that Lao PDR expected to ad opt a revised list of goods subject to export 
prohibition by May 2011.  Could Lao PDR conf irm that this has occurred and provide the 
relevant document number. 
Answer: 
Lao PDR confirms that the list has been revi sed through Notification No. 0973/MoIC.DIMEX of 
25 May 2011 "On Goods prohibited from Import or Export".  The Notification has been submitted to 
the Working Party.  See document WT/ACC/LAO/23. 
C. INTERNAL POLICIES AFFECTING FOREIGN TRADE IN GOODS 
- Industrial Policy, Including Subsidies  
Question 67   We understand from the Elements of a Draft Wo rking Party report that Decree No. 119/PM on 
Implementation of Investment Promotion Law was adopted on 20 April 2011.  We request that 
this Decree please be submitted to the Working Party for Members' review.   
Answer: 
Lao PDR has provided the English translation of the Implementing Decree of the new Investment 
Promotion Law to Working Party.  See document WT/ACC/LAO/24/Add.1.  WT/ACC/LAO/24 
 Page 29 
 
 
  Question 68 
In paragraph 99, Lao PDR notes:  "The Law on Electricity stated that the sector sought to 
increase foreign investment in production, dist ribution, exportation, importation and the 
development of this sector".  Has Lao PDR provide d the Working Party with a copy of this law?  
We request that Lao PDR please do so if it has not.  Furthermore, can Lao PDR please clarify 
any existing plans related to foreign investment  in the energy sector, or when such plans might 
be available?   
Answer: 
The Electricity Law has been revised and adopted by the National Assembly in December 2011.  
Lao PDR will provide a copy of the revised law after its promulgation to the Working Party.  
There is no specific plan for foreign investment in the energy sector.  The statement referred to the 
general policy of the Government for cooperati on with foreign, regional and international 
organizations with regard to info rmation related to energy production, exportation, distribution etc.  
Lao PDR requests the amendment of this sentence in  the Elements of a Draft Working Party Report as 
follows:  [The Law on Electricity stated that th e sector sought to increase foreign investment in 
production, distribution, exportation, importation and th e development of this sector.  Lao PDR has no 
specific plan for foreign inv estment in the energy sector]. 
Question 69  
It appears that certain provisions of the old in vestment law may still apply even with the new 
Investment Promotion Law No. of 02/NA in effect, given that the new law states that "All benefits that the enterprise obtained under pr evious laws or agreements signed with the 
Government remain unchanged.  However, those enterprises invested under previous laws, but 
wish to obtain investment incentives under this  present Law have the right to request to the 
relevant authorities".  With this background in mind, we note that in response to Question 36 of document WT/ACC/LAO/20 regarding the provisions of Article 99 of the new Investment Promotion Law No. 02/NA, Lao PDR indicates th at investors already receiving incentives under 
the old law can continue to do so "without havi ng to be in compliance with the local content 
requirement" of the old law.  Thus, if an inv estor already receiving incentives under the old law 
can continue to do so "without having to be in compliance with the local content requirement" 
where is it provided for in Lao PDR's legislation or regulations that investors do not have to 
comply with the local content requirement of the old law?  We note that the condition is not 
reflected in the language of Article 99 of the new Investment Promotion Law No. 02/NA. 
- Could Lao PDR clarify under what measure it is, or will be, provided that investors 
need not comply with the local cont ent requirement of the old law?   
Answer: 
Lao PDR confirms that the local content requirement  is no longer used.  A Prime Minister's decree is 
expected to be adopted by February 2012 to officially repeal this requirement.  WT/ACC/LAO/24 
Page 30  
 
  Question 70  
With regard to Article 99 of the new Invest ment Promotion Law No. 02/NA, could Lao PDR 
explain:   
- How much longer companies will be permitted to continue receiving benefits from the 
old incentive programmes being rescinded under the new law? 
- Please also explain how many companies currently benefit from the old incentive 
programmes. 
Note:  The above question had been posed und er Question 36 of document WT/ACC/LAO/20, 
but does not appear to have been answered. 
Answer: 
Investors that were covered by the previous inv estment law could choose between receiving benefits 
granted by the new or old incentive programmes.  However, even when the old incentive programme 
is chosen, companies are no longer required to comp ly with the local content requirement.  A Prime 
Minister's decree is expected to be adopted by Fe bruary 2012 to officially repeal this requirement. 
Please see also the response to Question 69.  
We have no statistics on the total number of compani es that benefitted from the old law.  As the local 
content requirement has actually never been en forced, the government does not have further 
information on this. 
Question 71 
We appreciate the draft commitment text proposed  by Lao PDR in this section of the Elements 
of a Draft Working Party Report.  We are conti nuing to review this draft text, and will submit 
revisions in writing.   
Answer: 
Lao PDR looks forward to receiving a nd reviewing the proposed revisions. 
- Technical Barriers to Trade, Standards and Certification 
Question 72 
In paragraph 104, the representative of Lao PDR stat ed that a re-assessment of the institutional, 
legal and regulatory framework in the area of technical regulations, standards and conformity 
assessment and that the review would be complete d by June 2011.  We seek an update on the 
status of the review. 
Answer: 
The re-assessment was completed in June 2011.  On  the front of legal and regulatory framework, it 
has made suggestions on how to make the technical  regulations, standards and conformity assessment 
procedures compliant with regional and intern ational obligations.  The draft Decree on the 
Implementation of the Law on Sta ndardization and the preparation to implement the TBT Enquiry 
Points are the key actions to improve those complia nces.  Please see the updated TBT Action Plan in 
document  WT/ACC/LAO/14/Rev.5 on the timeframe for the adoption.  The re-assessment has also 
shown existing shortcomings of in stitutional set-up and capacity constraints which are presently being  WT/ACC/LAO/24 
 Page 31 
 
 
  considered by relevant stakeholders.  Those defi ciencies are the main reason for the transition period 
and technical assistance Lao PDR has asked for in implementing the TBT Agreement. 
Question 73 
In paragraphs 108 and 128, Lao PDR provided contact details for its TBT and SPS Enquiry 
Points.  Could Lao PDR ensure that email contacts for both are provided? 
Answer: 
The e-mail contact for Lao PDR's SPS Enquiry Po int is enquiries@laossps.gov.la and for its 
TBT Enquiry Point is enquiries@laostbt.gov.la.  
These contacts are not yet functional.  The Department of Planning (SPS Enquiry Point) of the 
Ministry of Agriculture and Forestry, and the Depa rtment of Standards and Metrology (TBT Enquiry 
Point) of the Ministry of Science and Technology are proceeding the technical matters to make them 
operational upon WTO accession, as per timeline ou tlined in the updated SPS and TBT Action Plans 
in documents  WT/ACC/LAO/13/Rev.5 and WT/ACC/LAO/14/Rev.5, respectively. 
Question 74 
In paragraph 110, Lao PDR stated that its long-term goal was to participate in the mutual 
recognition arrangements ILAC and IAF with a view to eventually accepting conformity 
assessment procedures of exporting member count ries that were also participants in these 
arrangements.  Can Lao PDR provide further detail on when it expects to participate in these 
arrangements? 
Answer: 
Due to capacity and resource constraints, Lao PDR currently has no concrete plans or timeframes to 
join these arrangements.  Nevertheless, in additi on to the response to Question 72, Lao PDR accepts 
conformity assessment procedures of exporting memb er countries that are participants in these 
arrangements.  
Question 75  
Lao PDR noted that two items in the TBT Action Plan would be completed/implemented in 
June 2011.  What is the status of those items (noted below)?   
- Re-assessment of the Institutional, Le gal and Regulatory Framework for TBT; and 
- Decision on TBT Enquiry Point being prepared to strengthen coordination among 
notification unit, enquiry points and relevant authorities. 
Answer: 
The re-assessment of the Institutional, Legal a nd Regulatory Framework for TBT was completed in 
June 2011.  Please see details in the response to Question 72.   
The Ministerial Decision No  1199/NAST-PMO of 22 June 2011 "On the Organization and Operation 
of Technical Barriers to Trade (TBT) Enquiry Point (EP)", and Decision No. 0471/MIOC of 9 March 2011 "On the Notification Unit of SPS and TBT", have already been in place  to strengthen 
coordination among notification unit, enquiry po int and relevant authorities.  See document 
WT/ACC/LAO/24/Add.1 for those adopted decisions.  Currently, responsible staff has been assigned, WT/ACC/LAO/24 
Page 32  
 
  relevant operating procedures are being drafted, and relevant websites are being established which 
would be finalized by June 2012.  Basic training h as also been provided for responsible staff with the 
support from ADB, TDF and USAID as per outlined in the updated TBT Action Plan in document WT/ACC/LAO/14/Rev.5.  More technical assistan ce is required to ensure Lao PDR can fully 
implement the transparency provisions under the TBT Agreement.  
Lao PDR proposes the following commitment language to be inserted in the Draft Working Party 
Report: 
[xx. The representative of Lao PDR stated that Lao PDR would progressively implement 
the Agreement on Technical Barriers to Trade in  accordance with the action plan set-out in 
Table WT/ACC/LAO/14/Rev.5.  Full implementa tion will start from 1 January 2015 without 
recourse to any further transitional period.  The Working Party took note of this 
commitment.] 
- Sanitary and Phytosanitary Measures  
Question 76  We welcome efforts made to comply with re quirements under the SPS agreement.  As regards 
the Action Plan to implement this agreement, La o PDR provided a time table on the actions to 
be taken with an indication that Lao PDR would ensure its legal framework on food safety, animal and plant health to be in complian ce with the SPS Agreement  by 31 December 2012.  
In this revised action plan, Lao PDR states th at full implementation of the SPS Agreement will 
only be achieved by 31 December 2014.  While the transparency provisions of the Agreement 
are on right track, we would like to encourage  Lao DPR to submit regularly updates of the 
checklist of illustrative SPS issues.   
- Does Lao PDR intend to publish all import conditions related to SPS online?  If so, could 
you indicate the link to this website and th e timeframe by this information would be 
made available? 
Answer: 
In addition to the adoption of the Ministerial Decision No. 1502/MAF of 23 June 2011 "On the 
Organization and Operation of San itary and Phyto-sanitary Measures (SPS) Enquiry Point (EP)", see 
also response to Question 73 for more progress on th e implementation of SPS transparency provision. 
On updated Checklist of illustrative SPS issue, please see document WT/ACC/LAO/6/Rev.3. 
Lao PDR intends to publish all SPS related laws and regulations online on the Lao Trade Portal 
website including SPS related impor t conditions.  The website is unde r construction by the Ministry 
of Industry and Commerce supported by the Trade Development Facilities (TDF).  The website would 
include all trade facilitation information, for inst ance, HS code for each product along with relevant 
requirements and procedures including SPS/TBT measures where importers can find what is relevant to the products they intend to import.  This webs ite is expected to be launched by June 2012.  
The specific link to the Lao Trade Portal websit e would be provided to the Working Party upon its 
launching.  WT/ACC/LAO/24 
 Page 33 
 
 
  Question 77  
In reply to Question 49 of document WT/ACC/LAO/20, Lao PDR stated "prioritization of 
standards applies only to local production".  As such, can Lao PDR please explain how it will 
ensure that its SPS regime is in compliance with  international standards upon accession to the 
WTO?   
Answer: 
As it was previously stated by Lao PDR, it has ac cepted all international CODEX standards both for 
imported and domestically produ ced goods.  However, due to limited resources and capacity 
constraints, it is difficult to transform all CODEX st andards into the national standards.  Accordingly, 
Lao PDR has identified to apply all those standards in ternally.  Lao PDR has to select priority list of 
essential standards for the purposes of consumer pr otection and domestic production management.  
The prioritization of standards applies only to local production which requires a certain awareness 
raising and capacity building process for local produ cers who have not been able to meet with the 
Codex standards, guidelines and recommendations to ensure thei r production and processing related 
activities meet with the requirements of the C odex standards, guideline, and recommendations.   
The Food Law of 2004, the National Policy No. 0 28/PM of 3 February 2009 "On Food Safety", 
Regulation No. 518/MoH "On Basic Principles in the Application of Sanitary and Technical 
Measures", and the draft Regulation on Food Insp ection have brought the food safety regime of 
Lao PDR to be in line with the Codex standards,  guidelines and recommendations.  In addition, laws, 
decrees and regulations which are provided for in  the updated SPS Action will provide a full legal 
basis for Lao PDR to comply with all the re quirements of the SPS Agreement and relevant 
international standards, in particular, IPPC and OIE.   
In this regard, Lao PDR proposes the following co mmitment language to be inserted in the Draft 
Working Party Report: 
[xx. The representative of Lao PDR stated that Lao PDR would progressively implement 
the Agreement on the Application of the Sanita ry and Phyto-sanitary Measures in accordance 
with the action plan set-out in Table WT/ACC/LAO/13/Rev.5.  Full implementation, 
including the adoption of all CODEX standa rds will start from 1 January 2015 without 
recourse to any further transitional period.  The Working Party took note of this commitment.] 
Question 78 
Regarding Table 17 (of document WT/ACC/SPE C/LAO/4/Rev.1):  Action Plan for the 
Implementation of the SPS Agreement:   
There are various discrepancies between the inform ation in Table 17 with those in document 
WT/ACC/LAO/13/Rev.4 (Revised SPS Action Plan).  We request that these documents and other related documents provide the sa me and accurate information.   
Answer: 
Lao PDR has reviewed and rectified such discr epancies as provided for in the updated SPS Action 
Plan in document WT/ACC/LAO/13/Rev.5. WT/ACC/LAO/24 
Page 34  
 
  Question 79 
Discrepancies observed include the following: In document WT/ACC/SPEC/LAO/4/Rev.1:  Food Safe ty states that technical assistance for its 
Regulation on Food Additives has been recei ved from TDF, FAO and WHO for drafting and 
finalizing the regulation; and that it was adopted on 27 April 2011.  Document 
WT/ACC/LAO/13/Rev.4, however, states that TA is  "to be requested" and that this regulation 
is expected to be adopted in March 2011.   
Answer: 
See the response to Question 78. 
Question 80   
In document WT/ACC/SPEC/LAO/4/Rev.1:  Inform ation Procedures states that TA has been 
received from USAID and ADB on the implementa tion of its Decree on Notification and 
Enquiry of Trade Related Information No. 363.   However, WT/ACC/LAO/13/Rev.4 states that 
TA on implementation has yet to be requested from USAID and ADB.   
Answer: 
See the response to Question 78. 
Question 81  
With respect to paragraph 121 of the Elements  of a Draft Working Party Report (document 
WT/ACC/SPEC/LAO/4/Rev.1), how does Lao PDR provide for evaluating and assessing a trading partner's standards as "equivalent" to Codex?   
Answer: 
In evaluating and assessing trading partner's standa rds' compliance with Codex standards, guideline, 
and recommendations, Lao PDR applies the SPS  Committee Decision on Equivalence 
(G/SPS/19/Rev.2) in addition to the provisions of  Article 4 of the SPS Agreement, and Guidelines on 
the Judgement of the Equivalences of Sanitary Measures Associated with the Food Inspection and 
Certification Systems - CAC/GL 53-2003, as provided for in the draft Regulation on Food Inspection 
which is in the final stage of adoption (see the updated SPS Action Plan in document 
WT/ACC/LAO/13/Rev.5).  Reviewing of Good Manufacturing Practices (GMPs) and Hazard 
Analysis and Critical Control Points - HACCP (or HACCP-like system) is also a part of a system 
evaluation and approval for equivalency. 
Question 82  
Paragraph 122 of the Elements of a Dr aft Working Party Report (document 
WT/ACC/SPEC/LAO/4/Rev.1) states that various documents, e.g., Certificate of Analysis and 
Health Certificate, would be required on import ed food products.  Can Lao PDR please clarify 
if it will also require these documents on domest ic products?  If not, can the Lao PDR please 
explain how this is consistent with Article 2.3 of the WTO SPS Agreement?    WT/ACC/LAO/24 
 Page 35 
 
 
  Answer: 
Lao PDR products have to respect Lao national st andards based on Codex standards, guidelines and 
recommendations.  They are required to prove comp liance every 180 days through testing analysis.  
Under the new draft Regulation on Food Inspec tion, Lao PDR will apply the same inspection 
procedures based on risk assessment.  
Question 83   
Are all of these required for every shipment (whi ch would be excessive)?  Review of GMPs and 
HACCP (or HACCP-like system) should be done as  part of a system evaluation and approval 
for equivalency.   
Answer: 
Under the draft Regulation on Food Inspection, cons ignments accompanied by certificates of health 
from the competent authority of the exporting country and test reports from accredited laboratories in exporting countries attesting to the characteristics for which tests would otherwise be conducted in 
Lao PDR, shall be subject to a lower frequency of  inspection.  The frequency of inspection varies 
according to three categories of risk foods (A - hi gh risk foods, B - medium risk foods and C - low-
risk foods).  For instance, Category C (Low-risk foods), random inspection is undertaken on one in 
every 30 consignments from a country.  The criteri a and procedures for determining such categories 
have been included in the draft Regulation on Food Inspection, a copy of which will be provided to 
the Working Party after its adoption. 
Reviewing of GMPs and HACCP (or HACCP-like system) is also a part of a system evaluation and 
approval for equivalency as defined by th e draft Regulation on Food Inspection. 
Question 84 Please provide specifics regarding testing samples.  Testing for what?  Taking samples should 
follow a sampling programme (as opposed to 100 p er cent sampling) and should be taken by the 
importing country upon entry.   
Answer: 
Lao PDR follows the General Guidelines on Sampli ng, CAC/GL 50-2004 as defined by the draft 
Regulation on Food Inspection. 
Question 85 
Further, could Lao PDR please clarify what it means by imported food products, e.g., does this 
mean all imported products or just certain commodities.  If it is the latter, could the Lao PDR please provide a list of those products that will be subject to these documentations?  Could the 
Lao PDR also please provide the scientific ration ale in requiring all these documentations for 
such products?   
Answer: 
Imported food products mean all food products imported to Lao PD R.  Those food products are 
categorized according to their risk categori es as explained in the response to Question 83. WT/ACC/LAO/24 
Page 36  
 
  Question 86  
A Member notes that its exported food products are subject to the same food safety standards 
that apply to domestically consumed foods.  Th e Member has a strong track record of providing 
safe food to domestic and international consum ers.  Because the Member's Government does 
not issue food safety certificates, Good Manufac turing Practices certification, or other food 
safety related certificates of analysis, prop osed Laotian documentation requirements would 
seriously impact the Members' exporters' ability to serve the Laotian market.  (The Member does require mandatory testing and certification of aflatoxin count in exported corn (maize)).  
The Member encourages Lao PDR to obtain info rmation regarding the food safety regulatory 
regimes of its trading partners as it contemplates measures to enhance food safety in Lao PDR.  
The Member respectfully suggests that Lao PDR may be able to better ensure food safety for 
consumers by targeting inspection resou rces based on an assessment of risk.   
Answer: 
Lao PDR takes note of Members' comments, and will take an appropriate action to be in accordance 
with the Decision on the Implementation of Article 4 of the Agreement on the Application of Sanitary 
and Phyto-sanitary Measures (G/SPS/19/Rev.2, 23 July 2004) and the Guidelines for the Design, 
Operation, Assessment and Accreditation of Food Import and Export Inspection and Certification 
Systems - CAC/GL 26-1997, which requires the demand for certification should be justified by risk to health or risk of fraud or deception, or alterna tives to certification should be considered wherever 
possible, in particular where the inspection system and requirements of an exporting country are assessed as being equivalent to those of Lao PDR.   Bilateral or multilateral agreements, such as 
mutual recognition agreements or pre-certificatio n agreements, may provide for dispensing with 
certification and/or the issuance of certificates whic h were previously required in certain cases. 
Please refer to the response to Question 83, wh ere Lao PDR has taken into account Members' 
suggestion on targeting inspection resources basing on an assessment of risk. 
Question 87  
Paragraph 123 of the Elements of a Dr aft Working Party Report (document 
WT/ACC/SPEC/LAO/4/Rev.1):  With regard to  Lao PDR's apparent intention to require 
expiration dates or best by date labelling on packaged foods, a Member seeks confirmation that 
these requirements would not apply to bulk fresh fr uits and vegetables.  As indicated by Codex 
Standard 1-1985, "GENERAL STANDARD FOR THE LABELLING OF PREPACKAGED 
FOODS", 4.7.1(vi), best by dates are not reco mmended for fresh fruits and vegetables.   
Answer: 
As responded to Question 77, Lao PDR accepts all Codex standards and complies with the ASEAN 
Common Principles and Requirements for the Labelling of Pre-packaged Food.  Therefore, Lao PDR confirms that such labelling requirements do no t apply to bulk fresh fruits and vegetables. 
Question 88  
Paragraph 125 of the Elements of a Dr aft Working Party Report (document 
WT/ACC/SPEC/LAO/4/Rev.1):  With regard to the statement that Lao PDR "automatically 
adapted its regulations in response to OIE anno uncements on a specific disease or disease-free 
area", we would note that reporting of a notifiable disease by an OIE member does not 
automatically justify trade restrictions by other OIE members.  The OIE only evaluates country 
status for a limited number of animal diseases (FMD, CBPP, BSE).    WT/ACC/LAO/24 
 Page 37 
 
 
  Answer: 
Lao PDR understands that automatic adaptation is possible only for exotic diseases.  The Regulation 
on Basic Principles in the Application of SPS Measu res in Plant and Animal Administration ensures 
that any trade restrictions comply with the SPS Ag reement in particular, its Articles 2.1, 2.2, 2.3 
and 6.  A copy of the said regulation will be provi ded to the Working Party upon the completion of its 
English translation. 
Question 89 
Paragraph 126 of the Elements of a Dr aft Working Party Report (document 
WT/ACC/SPEC/LAO/4/Rev.1):  The Member notes with appreciation that Lao PDR intends to 
adopt Codex standards with regard to pest icide Maximum Residue Limits (MRLs).  
The Member would note, however, that the Member's competent authority for establishing 
MRLs, the Member's Environmental Protectio n Agency, has a robust and internationally 
recognized pesticide regulatory regime and has reviewed hundreds of pesticides and established 
over 14,000 MRLs at a safety standard of "rea sonable certainty" of no harm.  The Member's 
growers have access to many more reviewed and approved MRLs than are available under 
Codex standards.  Consequently, many of the Member's trading partners, including those that 
are developing or refining their pesticide regulato ry regimes, have found it in their interest, in 
the absence of a specific Codex MRL, to defer to exporter MRLs.  We encourage Lao PDR to 
consider such an approach, which would be trad e facilitative while enabling Laotian regulators 
to ensure consumer safety.  
Answer: 
Lao PDR appreciates and takes note of Members' comments and will take an appropriate action upon 
the requests from domestic competent authorities. 
Question 90  
Regarding Lao PDR's sanitary and phytosanitary  measures, do existing or proposed laws 
elaborate an approach (including a risk-assessme nt framework) that includes regulation of 
products that are derived from biotechnology? 
Answer: 
Regarding Lao PDR's sanitary and phyto-sanitary me asures, Lao PDR has no existing or planned laws 
or regulations related to biotec hnology.  Products based on biotec hnology entering into Lao PDR are 
treated like other products.  
Lao PDR reserves the rights to regulate products th at are derived from biotechnology in compliance 
with the WTO Agreements. 
- On Food Safety 
Question 91  
On document WT/ACC/LAO/13/Rev.4, the revised SPS Action Plan:  Since the National Policy 
on Food Safety was adopted on 3 February 2009, could the Lao PDR please explain how it plans 
to harmonize the existing and future polic ies with the WTO SPS and TBT Agreements and 
international standards such as Codex, OIE and IPPC?   WT/ACC/LAO/24 
Page 38  
 
  Answer: 
Please refer to the updated SPS Action Plan (document WT/ACC/LAO/13/Rev.5). 
Question 92   
On document WT/ACC/LAO/13/Rev.4, the revised SPS Action Plan:  Could the Lao PDR also 
provide a list of the technical assistance a nd recommendations it has received from FAO and 
WHO and trading partners regarding its national food safety policy? 
Answer: 
Technical assistance that Lao PDR has received from FAO and WHO and trading partners regarding 
its national food safety policy is as follows: 
1. FAO - NZAID regional project on improving food hygiene:  finalizing food safety policy, 
GMP manual, food inspection regulation, training on the food testing especially pesticides 
residues and equipment-GC for pesticides testing in food; 
2. FAO - Japan - ASEAN project:  trainings on food inspection, supplying test kits for food that 
Lao PDR can use nationwide; and 
3. WHO:  budget to support food safety related issues since 1997 including food legislation 
development, expertise, domestic and overseas  trainings on food safety, GHP and HACCP, 
publications of Food Law 2004, development of food safety policy, drafting drinking water 
regulation and import-export control regulation,  finalizing of food inspection regulation, 
improvement of laboratory capacity for analys is of food pathogens and investigation on 
outbreaks, examination of causes of food poi soning by WHO-referenced laboratories. 
Recommendations on food safety, provided by experts of FAO and WHO, are based on Codex 
standards, guidelines and recommendations. 
Question 93  
On document WT/ACC/LAO/13/Rev.4, the revised SPS Action Plan:  Could the LAO PDR 
please identify the recommendations received from the FAO and WHO with respect to 
Regulation on Basic Principles in Application of Sanitary… in Food Safety Management in 
accordance with the SPS Agreement?   
Answer: 
Lao PDR confirms that recommendations provided by FAO and WHO's experts do not prejudice 
Lao PDR's obligations to fully comply with the provisions of the SPS Agreement. 
Question 94  
On document WT/ACC/LAO/13/Rev.4, the revised  SPS Action Plan:  Please provide an update 
on the status of the Regulation on Food Inspection , the Regulation on Food Additives, and the 
adoption of Codex Alimentarius Standards (two of which were expected to be adopted in March 2011).  WT/ACC/LAO/24 
 Page 39 
 
 
  Answer: 
Please refer to the updated SPS Action Plan (document WT/ACC/LAO/13/Rev.5). 
- On Animal Health  
Question 95  
Since the time of this report (March 2011), co uld the Lao PDR please provide updates on the 
status of the following events and or decrees? 
- Amendment of Decree on Inspection of;  
- Live Animals on Import and Transit; - Amendment of Decree on Animal Epidemic Diseases; - Establishment of Diagnostic Laboratory; 
- Identification of animal disease-free areas; 
- Regulation on Principles in the Application of SPS Measures in Plant and Animal 
Administration; and 
-  Regulation on Criteria for Livestock Production and Veterinary Business. 
Answer: 
Please refer to the updated SPS Action Plan (document WT/ACC/LAO/13/Rev.5). 
- On Plant Health 
Question 96  
Since March 2011, could the Lao PDR please provi de updates on the status of the following 
events and or decrees: 
- Decree on Implementing on Plant Protection and Quarantine (formerly referred to as 
Regulation on Plant Quarantine); 
- Regulation on Plant Inspection and Certification; and - Identification of pest and disease free areas. 
Answer: 
Please refer to the updated SPS Action Plan (document WT/ACC/LAO/13/Rev.5). - On Information Procedures  
Question 97   
Could the Lao PDR please provide an update on the actions it has/is taking to strengthen 
coordination among its notification units, enquiry points and relevant authorities? 
Answer: 
The Ministerial Decision No.  1199/NAST-PMO of 22 June 2011 "O n the Organization and Operation 
of Technical Barriers to Trade Enquiry Point", and Decision No. 0471/MIOC of 9 March 2011 
"On the Notification Unit of SPS and TBT", Decision No. 1502/MAF of 23 June 2011 "On the Organization and Operation of SPS Enquiry Point" have already been in place  to strengthen WT/ACC/LAO/24 
Page 40  
 
  coordination among notification unit, enquiry po int and relevant authorities.  See document 
WT/ACC/LAO/24/Add.1 for those adopted decisions.  Currently, responsible staff has been assigned, 
relevant operating procedures are being drafted, and relevant websites are being established which 
would be finalized by June 2012.  Basic training h as also been provided for responsible staff with the 
support from ADB, TDF and USAID as per outlined in the updated SPS and TBT Action Plans in 
documents WT/ACC/LAO/13/Rev.5 and WT/ACC/LAO/ 14/Rev.5, respectively.  More technical 
assistance is required to ensure Lao PDR can fully implement the transparency provisions under the 
SPS and TBT Agreements.  
See also the response to Question 75. 
Question 98  
Also, please provide email addresses for its SPS and TBT Enquiry Points. Answer: 
The e-mail contact for Lao PDR's SPS Enquiry Point is enquiries@laossps.gov.la and for its TBT 
Enquiry Point is enquiries@laostbt.gov.la.  These contacts are not yet functional.   
See also the response to Question 73. Question 99  Could you please confirm when your www.m-l ao.com/ftpd website will be operational? 
Answer: 
As stated in Tables 16 and 17 of the Elements of  a Draft Working Party Report, the pilot website 
www.m-lao.com/ftpd  has been renamed as www. laoftpd.com which was launched in April 2011. 
- Concerning the Regulation on Labelling Pre-packaged Food  
Question 100  On document WT/ACC/LAO/13/Rev.4, the revised SPS Action Plan, Article 5.1 (b)(ii):  
A mandatory labelling requirement for geneticall y-engineered (GE) foods or food ingredients 
that do not differ in composition from their conventional counterparts is a complicated process that will provide little in terms of food safety , while potentially increasing costs to industry, 
consumers and government authorities tasked to  enforce the provision.  A Member notes that 
mandatory GE labelling can also imply safety concerns where none exist and may discourage 
the use of biotech ingredients and products.   
The mandatory labelling for GE food products th at do not differ in composition from their 
conventional counterparts is impractical and coul d be considered misleading.  Such labelling is 
misleading because such action implies an in herent difference in products when no such 
difference exists, and is often taken by the cons umer to imply a safety/health hazard when no 
such hazard exists.  Labelling food products or ingredients to indicate that they were produced 
using genetic engineering does little to educate the consumer about these products, particularly given that no specific handling, usage, safety, or compositional characteristics have been 
identified that distinguish conventional products from those containing or derived from 
biotechnology.    WT/ACC/LAO/24 
 Page 41 
 
 
  A Member would like to understand what sci entific rationale Lao PDR relied upon for 
requiring the labelling of food and food ing redients obtained through certain techniques of 
genetic modifications/genetic engineering.  How does Lao PDR intend to implement this labelling requirement for both imports and dom estically produced genetically engineered 
foods?  What analytical methods, sampling pr ocedures does Lao PDR intend to use to ensure 
compliance of this requirement?   
For reasons outlined above, we suggest th at Lao PDR reconsider the mandatory labelling 
requirement for food and food ingredients obtained through certain techniques of genetic modifications/genetic engineering as described in Article 5.1(b)(ii) of the Regulation on 
Labelling of Pre-packaged Food and instead consider voluntary labelling or other means to 
provide meaningful information to consumers and to achieve the Government's objectives. 
Article 6.2:  "Specific labelling and claims on nut rition based on local needs may be required".  
Please explain the intention and need for this provision.  This appears to be a very vague 
requirement, leaving it open to each town, city , province or other geographic unit to change the 
labelling requirements for imported foods.   
Answer: 
A mandatory labelling requirement for GE food, wh ich described in Article 5.1(b)(ii) of the 
Regulation on Labelling of Pre-packaged Food, is  an obligation of Lao PDR under section 4 of the 
ASEAN Common Principles and Requirements for the Labelling of Pre-packaged Food.  
The implementation would be taken into account  under the draft Regulation on Food Inspection 
where the registered GE food under the ASEAN food safety framework would be applied, as 
specifically described under the paragraph 7.1 of  the ASEAN Guidelines on Risk Assessment of 
Agriculture-Related Genetically Modified Organisms (GMOs):  which states:  "A register of approved 
agriculture-related GMOs in ASEAN will be set up and updated by the ASEAN Secretariat.  Once the GMOs under consideration have b een granted approval for unconfined or commercial release by the 
National Authority for Genetic Modification (NAGM)  of the ASEAN country where the application 
was originally filed, the GMOs shall be regist ered with the ASEAN Secretariat.  The ASEAN 
Secretariat shall inform the NAGMs of all ASEAN countries and make available the basis for approval".  
In the mentioned Article 6.2, the term "local" is a translation mistake.  In Lao language, it uses the 
word "national". 
- Trade-related investment measures 
Question 101  We understand from Lao PDR's statements during the July 2011 Working Party meeting that it 
will fully comply with TRIMs at the time of  accession.  We request that the following 
commitment text be included in the Draft Working Party Report. 
 "xx. The representative of Lao PDR said that Lao PDR would not maintain any 
measures inconsistent with the TR IMs Agreement and would apply the 
TRIMs Agreement from the date of accessi on without recourse to any transitional 
period.  The Working Party took note of this commitment." WT/ACC/LAO/24 
Page 42  
 
  Answer: 
Lao PDR accepts the proposed commitment language. 
- Free zones, special economic areas 
Question 102 Concerning paragraph 140, could Lao PDR clarify whether Decree No. 443/PM, the new 
legislation on special economic zones adopted in October 2010, is intended to replace the 
individual decrees currently in place for each particular SEZ, such as Decree Nos. 25/PM, 
162/PM and 177/PM?  If these individual decrees will continue in revised form eliminating the 
current local content requirements, could Lao PDR provide an update as to when the revised 
versions will be adopted? 
We request the following commitment be inserted after paragraph 140. 
 "xx. The Representative of Lao PDR said that free zones established under Decree 
No. 443/PM "On Specific and Special Economic  Zone in Lao PDR "and any subsequent 
legislation would be fully subject to the coverage of WTO Agreements and its commitments in its Protocol of Accession to the WTO Agreement and that Lao PDR 
would ensure enforcement of its WTO obligations in those zones.  In addition, the 
Representative of Lao PDR confirmed that from the date of accession goods produced in any free trade, special economic zones or areas under tax and tariff provisions that exempt imports and imported inputs from ta riffs and certain taxes would be subject to 
normal customs formalities when entering the rest of Lao PDR, including the application of tariffs and taxes.  The Working Party took note of these commitments."   
Answer: 
Decree No. 443/PM provides the general guidelines for the SEZ.  Decree No. 443/PM does not 
replace Decrees No. 25/PM and No. 177/PM (D ecree No. 162/PM has been abrogated).  
A Prime Minister Decree to officially repeal all ex isting local content requirement is to be adopted by 
February 2012.   
Lao PDR accepts the proposed commitment language.   
- Agricultural policies  
Question 103 Paragraphs 145 to 152 cover agricultural policies.   We note that the section does not contain a 
commitment paragraph to establish a link to the do mestic support and export subsidy tables.   
Answer: 
Lao PDR would like to suggest the following commitment language:  
[xx. Lao PDR confirmed that, upon accessi on, it would apply all WTO obligations 
contained in the GATT and in the Agreement on Agriculture related to domestic support and 
export subsidies.]   WT/ACC/LAO/24 
 Page 43 
 
 
  Question 104  
With respect to paragraph 145 of document WT/ACC/SPEC/LAO/4/Rev.1, please provide an 
update on the currently applicable import perm it procedures for agricultural commodities and 
agro-chemicals, since it states that the informat ion previously provided to the Working Party is 
no longer valid.   
With respect to paragraph 152, please clarify the scope of "farm products" that can be bought 
and sold for purposes of market stabilizat ion, and what criteria are applied.   
Answer: 
The measure mentioned in paragraph 145 of  document WT/ACC/SPEC/LAO/4/Rev.1 has been 
abolished.  The current regime is explai ned in the Import Licensing Questionnaire.  
With regard to paragraph 152 of document WT/A CC/SPEC/LAO/4/Rev.1, farm  products referred to 
agricultural products.  However, please note that the company mentioned in paragraph 152 is no 
longer in operation.  
V. TRADE-RELATED INTELLECTUAL PROPERTY REGIME 
- GENERAL 
Question 105 
With regard to Table 18 entitled Action Plan for the Implementation of the TRIPS Agreement 
in document WT/ACC/SPEC/LAO/4/Rev.1:  Lao P DR has recently extended the time period by 
which it commits to implement the TRIPS Agreem ent.  As noted in its Action Plan, Lao PDR 
expects to achieve full implem entation by December 2015.   
- Could Lao PDR elaborate on the reasons for having extended the necessary time period, 
and indicate the obstacles and problems fa ced that made necessary such extension? 
- In what areas does Lao PDR consider most necessary relevant technical assistance by 
Members?  
Answer: 
Lao PDR had no experience with IP legislation as well as the TRIPS Agreement; therefore, it was 
unrealistically ambitious.  
In the meantime, Lao PDR has made an assessment of the IP capacity with technical assistance from 
USAID.  Based on this assessment, Lao PDR rea lizes that it needs a transition period until 
December 2015 to be able to fully comply with th e TRIPS Agreement.  Not only does Lao PDR need 
to overhaul its IPR legislation, it also needs to ensure that government officials understand and are 
trained to implement this legislation, and that it ha s the technical means to en sure their compliance.  
Lao PDR thanks development partners for technical assistance.  
The Government of Lao PDR revised the 2007 Intell ectual Property Law in December 2011 to fully 
address WTO requirements and Members' comments, instead of only enacting a decree to implement the said law. 
To fully implement the revised IP Law, Lao PDR would need further technical assistance to develop 
capacity and infrastructure in all areas of IP as covered by the TRIPS Agreement.  For instance, WT/ACC/LAO/24 
Page 44  
 
  patents, designs and GI require a new registration system and need to be implemented.  Lao PDR 
lacks experiences in relevant agencies, insuffici ent expertise, qualified personnel, equipment and 
database system.  Please refer to the updated TRIPS Action Plan in document WT/ACC/LAO/15/Rev.5.  
Lao PDR thanks for technical assistance provided so  far from development partners including WIPO, 
ACWL, EU (ECAP), KIPO, SIDA and USAID to support these efforts. 
From 2012-2015, Lao PDR plans to carry out the follo wing activities to prepare its readiness to fully 
comply with the TRIPS Agreement as refl ected in TRIPS Action Plan (document 
WT/ACC/LAO/15/Rev.5): 
- Enhance public awareness on the protection of intellectual property rights;  
- Upgrade computerization of the Ministry of Science and Technology/MOST (previously 
called National Agency for Science and Technology/NAST);  
- Upgrade computerization of enforcement agencies; - Trainings for users (development of info rmation brochure and training program); and 
- Trainings of personnel involved in copyrights protection such as customs officials, policemen, 
judges, prosecutors and lawyers on the preven tion and control of copyright piracy and 
trademark counterfeiting. 
Lao PDR welcomes WTO Decision on Accession of  LDCs of 2011 (document WT/L/846) which  
reiterates that S and D provisions, as stipulated in the 2002 Guidelines, shall be applicable to all 
acceding LDCs, and that requests for additional tran sition periods will be c onsidered taking into 
account individual development needs of acceding LDCs.   
Question 106  We request that Lao PDR please provide  an updated TRIPS Checklist (document 
WT/ACC/LAO/7, from 27 July 2006).   
Answer: 
The updated TRIPS Checklist has been submit ted to the Working Party (see document 
WT/ACC/LAO/7/Rev.1). 
- SUBSTANTIVE STANDARDS OF PROTECTION, INCLUDING PROCEDURES 
FOR THE ACQUISITION AN D MAINTENANCE OF INTELLECTUAL PROPERTY 
RIGHTS 
- Copyright and related rights Question 107  
We note Lao PDR's answers to Questions 62 to 82 in document WT/ACC/LAO/20.  We note 
that the answers make frequent reference to a draft Decree implementing the IP Law (see, e.g., 
responses to Questions 62, 64, 69, 70, 72, 73, and 76).  We also note that the answers to these 
questions frequently state that Lao PDR will take Members' comments into account and 
consideration when revising its IP Law (see, e.g ., responses to Questions 65 to 70, 72 to78 and 80 
to 82).  Some responses to these questions make reference to both the draft Decree and a future 
revision of the IP Law (see, e.g., responses to Qu estions 62, 64, 69, 70, 72, 73 and 76).    WT/ACC/LAO/24 
 Page 45 
 
 
  - Please provide an update of the status of the draft Decree and a summary description of 
the types of copyright related regulations it will contain.  Is there a draft copy that can 
be shared?  When will the Decree be finalized? 
- Please provide an update on the status of th e process for revising the IP Law itself and, 
if possible, a summary description of the types of amendments relating to copyright that 
will be made to the current law.  When will the revisions be finalized? 
Answer: 
Following comments received from Members, Lao PDR has amended its IP Law, instead of issuing 
an implementing decree, in order to fully comply with TRIPS Agreement.  The amendment of IP Law 
has been consulted internally a nd internationally and has been adopted in December 2011, awaiting 
promulgation by the President of Lao PDR.  Ple ase see the revised TRIPS Action Plan (document 
WT/ACC/LAO/15/Rev.5).  The key amendments to the copyright section in the revised IP include the 
improvement of definition and other provisions to  reflect the TRIPS Agreement, Berne Convention 
and comments from Members.  
Please also note that Lao PDR will officially become a party to the Berne Convention in March 2012.  
Question 108   The revised Action Plan on the Legislative Work and Implementation of the Agreement on 
Trade-Related Aspects of Intellectual Property Rights (TRIPS), document WT/ACC/LAO/15/Rev.4 (17 March 2011) refers to reg ulations on copyright that are relevant to 
the TRIPS Agreement provisions and that are expected to be approved at the end of 2012.   
- Has the drafting of those regulations begun? 
- If available, please provide a copy of this dr a f t .   I f  n o t ,  w h e n  d o  y o u  e x p e c t  t o  d r a f t  
regulations to your copyright law in order to meet the 2012 deadline? 
Answer: 
Following the amendment of the 2011 IP Law whic h fully reflects the TRIPS Agreement especially 
with respect to copyright, Lao PDR will revise th e Regulation on the Notification of Copyright by 
June 2012.  Lao PDR will provide a copy of the re gulation after its adoption to the Working Party.  
Please refer to the timeline in the revised TRI PS Action Plan (document WT/ACC/LAO/15/Rev.5). 
Question 109  
We thank Lao PDR for its answer to Quest ion 83 in document WT/ACC/LAO/18 and for 
re-emphasizing that this provision is not intended to limit the rights of legitimate IPR holders.  
However, we remain concerned that the qualif ying language "economic value and benefit" 
could be limiting and therefore request that this language be struck from Article 2 to avoid any 
ambiguity or confusion. 
Answer: 
This term is no longer used in the new IP Law.  There are no provisions with a similar term either.  
Lao PDR will provide a copy of the revised law af ter its promulgation to the Working Party.   WT/ACC/LAO/24 
Page 46  
 
  Question 110 
We thank Lao PDR for its answer to Question 93 of WT/ACC/LAO/18 with respect to 
Article 92 of the draft law.  Would Lao PDR please explain the application of this provision and what the practical effect would be on  the rights of investors and creators? 
Answer: 
This term is no longer used in the new IP Law.  There are no provisions with a similar term either.  
Lao PDR will provide a copy of the revised law after its promulgation to the Working Party.  
Question 111  
We thank Lao PDR for its answer to Question 79 in document WT/ACC/LAO/18.  According to 
Lao PDR, this provision establishes that when a broadcast received sponsorship, the use of 
protected works is subject to remuneration, and does not require permission to be broadcasted.  
However, this provision remains unclear.   
- We request that Lao PDR please explain in detail what is meant by the term 
"sponsorship," and under what circumstances this provision would apply. 
- Please explain how this provision would be consistent with Article 13 of the 
TRIPS Agreement.   
Answer: 
This term is no longer used in the new IP Law.  There are no provisions with a similar term either.  
Lao PDR will provide a copy of the revised law after its promulgation to the Working Party. 
Question 112 
We appreciate that Lao PDR has offered to in corporate the requirement of destruction of 
foreign goods in the Implementing Decree of th eir Intellectual Property Law, but ask instead 
that the inclusion of this language be added di rectly to Article 135 of Intellectual Property Law 
No. 08/NA dated 24 December 2007.  We are co ncerned that clarification through the 
Implementing Decree may be insufficient.   Therefore, for purposes of accession and 
implementation of Articles 46 and 59 of the TRIPS Agreement we suggest clarification directly 
in Lao PDR's Intellectual Property Law. 
Answer: 
Lao PDR confirms that Articles 46 and 59 of the TR IPS Agreement are reflected in the new IP Law, 
and has therefore included the destruction of goods  as an additional measure against infringing goods.  
Lao PDR will provide a copy of the revised law after its promulgation to the Working Party. 
- Geographical indications, including appellations of origin 
Question 113 
With regard to Question 83 in document WT/ACC/LAO/20: In addition to Lao PDR's reply to the Ques tion 83, we would appreciate clarifications 
concerning the situation whereby an application fo r a registration of a trademark is filed when 
a similar or identical GI already exists.  In its previous response, Lao PDR provided  WT/ACC/LAO/24 
 Page 47 
 
 
  explanations regarding the conditions under which a trademark can be registered or continue to 
be used despite an identical or similar GI.   
Similarly, we would very much appreciate in formation about conditions under which a later in 
time trademark is refused or invalidated due to  the existing registered GI.  We would like to 
recall that EU's legislation contains a provision that  explicitly states that - with exception of one 
specific case - an existing GI prevents the registration of a posterior trademark.    
Answer: 
Under the amended IP Law, rights are granted to the party who can establish the earliest date on 
which the rights were entitled for protection of GIs in  Lao PDR (paragraph 2, Ar ticle 29).  Pursuant to 
Article 25.5, protected trademarks would make the regi stration of a GI ineligible if it were to lead to 
misunderstanding or confusion as to the origin of the good, provided the registration was applied for 
or registered in good faith, before the GI was protect ed in its country of origin.  Paragraphs 10 and 11 
of Article 23 renders a trademark in eligible for registration when it c onsists of or incorporates a GI 
which identifies a place other than the true origin of  the goods, or when it falsely represents that the 
goods originate in another territory. 
- Plant variety protection Question 114  Concerning paragraphs 184 to 185 of the document WT/ACC/SPEC/ACC/LAO/4/Rev.1:  
The representative of the Lao PDR is reported as  having mentioned that provisions on plant 
variety protection had been included in Section IV of the 2007 Intellectual Property Law.  The representative also stated that "Lao PDR would focus its limited capacities on implementing 
TRIPS requirements, as it understood that the TRIPS Agreement did not require membership 
of the UPOV Convention".   
While we welcome these legislative developments, we would like to ask the Lao PDR to commit 
itself to establishing, before its accession to the WTO, relevant laws allowing natural or legal 
persons of all WTO Members to apply for plant variety rights. 
Answer: 
The 2011 IP Law allows for all natu ral and legal persons, on an NT and MFN basis, to apply for plant 
variety rights.  
Question 115  
Concerning paragraphs 184 to 185 of docu ment WT/ACC/SPEC/LAO/4/Rev.1:  Could 
Lao PDR indicate whether accession to the UPOV convention is foreseen in the near future?  
If so, is Lao PDR currently adopting relevant legislation to this purpose?   
Answer: 
Participation of Lao PDR into UPOV is not a priority  at this time given the limited resources of the 
country.  However, all provisions of UPOV have  been reflected in the 2011 IP Law.   WT/ACC/LAO/24 
Page 48  
 
  - ENFORCEMENT 
Question 116  While it is helpful to have the precise legal ci tations from Lao PDR in their responses to our 
questions, could we request brief descriptions/expla nations of each of the provided citations?  
For example, Question 96 of document WT/ ACC/LAO/20 asks Lao PDR to specify where its 
laws provide for effective action against infringe ment of IP rights and deterrent remedies.  
Lao PDR responded by citing to two articles in  Intellectual Property Law No. 08/NA, Civil 
Procedure Law No. 02/NA, and Criminal Procedure Law No. 01/NA.  If Lao PDR could additionally provide brief explanations of how those provisions are responsive to that question 
and the others, it would be most helpful.  
Answer: 
The provisions concerning effective action against infringement of intellectual property rights and 
remedies which constitute a deterre nt to further infringement without creating barriers to legitimate 
trade or opportunities for abuse, as indicat e previously, are in the following laws: 
- Intellectual Property Law No. 08/NA dated 24 December 2007 (Articles 130 to 135); 
- Civil Procedure Law No. 02/NA dated 17 May 2004 (for civil action); and 
- Criminal Procedure Law No. 01/NA dated 15 May 2004 (for criminal action). 
Explanation:  Articles 130 to 135 of the 2007 Inte llectual Property Law (replaced by 2011 Intellectual 
Property Law) provide possibilities for action and re medies against any infringement of intellectual 
property rights.  The remedies include fines and im prisonment which constitute a deterrent to further 
infringement.  The possibilities for action include civil and criminal actions, the procedures of which 
are detailed in the Civil Procedure Law and Crim inal Procedure Law respectively.  Under such 
procedures, the judges have the authority to issue, upon request of the plaintiff, a provisional measure 
against any infringement.  Fair and equitable nature of such procedures would prevent any 
opportunities for abuse.   
Further explanations are provided in the explanatio ns of answers provided in Annex 1 of document 
WT/ACC/LAO/20. 
As a general note on the enforcement of IP rights, Lao PDR would like to reiterates its capacity and 
infrastructure constraints which would need furt her technical assistance for Lao PDR to fully 
implement the 2011 revised Intellectual Property Law in line with the TRIPS Agreement.  Please also 
refer to the response to Question 105. 
Question 117  
On Question 98 of document WT/ACC/LAO/20, which asks where in the laws Lao PDR 
requires decisions on the merits to be based on  the evidence presented by the parties to the 
proceeding, the response notes that merit decisi ons can be based on both the evidence presented 
by the parties and evidence discovered by the court.   Article 41.3 of the TRIPS Agreement states 
that decisions on the merits of a case "shall be based only on evidence in respect of which 
parties were offered the opportunity to be he ard".  Please explain the process whereby evidence 
discovered by the court is made available to th e parties consistent with this provision.   WT/ACC/LAO/24 
 Page 49 
 
 
  Answer: 
Article 83 of the Civil Procedure Law and Article 78 of the Criminal Procedure Law provide for a 
court hearing, in which both parties have equa l opportunities to be heard on all evidence presented, 
whether it was provided by the parties or by the judge. 
Question 118  
On Question 99 of document WT/ACC/LAO/20, which asks where in its laws Lao PDR requires 
decisions on the merits of a case to be done in  writing with the reasons explained, the response 
states that Articles 85 and 105 of the Civil Procedure Law No. 02/NA, dated 17 May 2004, indirectly requires decisions on civil cases to be in writing with reasons for the decision.  Please 
provide more detail about how these provisions require decisions on the merits to be in writing 
and reasoned.   
Answer: 
Lao PDR courts consistently provide all their decisi ons in writing.  Article 85 of the Civil Procedure 
Law provides that the judges must read the decision in the court room.  It is understood that only a written document can be read.  Therefore Article 85 indirectly requires the judges to make a decision 
in writing in order to read it in the court room.  Article 105 of the same law provides that a court 
decision of first instance may be revoked if, among othe rs, the court analysis is not in line with the 
facts of the relevant case.  Such analysis woul d be how the judges provide the reasons for their 
decisions.  Therefore, Article 105 indirectly requires the judges to provide reasons for their decisions.  The same reasoning applies to Article 80 and 93 of the Criminal Procedure Law.   
Question 119  
Similarly, in Question 105 of document WT/ ACC/LAO/20 regarding judges' authority to order 
production of evidence, the response notes that  Lao PDR indirectly gives judges this authority 
in the Civil and Criminal Procedure Laws.  Plea se explain in more detail how these provisions 
establish this authority.  Please also note any planned efforts by Lao PDR to provide direct 
authority to judges to order production of ev idence, consistent with Article 43.1 of the 
TRIPS Agreement.  
Answer: 
Article 20 of the Civil Procedure Law provides that  the judge may suggest the parties to provide 
additional evidences, seek evidence upon his own initiative or upon request by either party.  The phrase "upon request by either party" implies that the judge may seek or require evidence from 
any person including parties if such is requested by  either party to the proceedings, or upon his own 
initiative. 
VI. POLICIES AFFECTING TRADE IN SERVICES 
Question 120  Paragraph 209 of the Elements of a Dr aft Working Party Report (document 
WT/ACC/SPEC/LAO/4/Rev.1) discusses Lao PDR's Telecommunications Act No. 02/NA of 
10 April 2001, which has been submitted to the Working Party for review.  
- What is the current status of any revisions being made to this legislation?   
- Can Lao PDR please provide a copy of an y draft revisions to the Working Party? WT/ACC/LAO/24 
Page 50  
 
  Answer: 
Lao PDR has revised the 2001 Telecommunication Ac t.  The revised Law was adopted by the 
National Assembly in December 2011, awaiting pr omulgation by the President of Lao PDR.  
Once promulgated, it will be submitted to the Working Party for consultation.  
Please note that a number of laws related to trad e in services were also adopted by the National 
Assembly in December 2011:  th e Insurance Law (revision), the Law on Bar Association, and the 
Law on Electricity (revision).   
VII. TRANSPARENCY  
- Publication of information on trade Question 121  
Lao PDR explained during the July 2011 Workin g Party meeting that it will abide by the 
transparency-related provisions in the WTO Ag reements, and will ensure the publication of all 
relevant legislation or regulations related to the implementation of the WTO Agreements from the date of accession.  In acknowledgement of th ese commitments, we propose that the following 
paragraphs be added to the Elements of a Dra ft Working Party Report (after paragraph 210).   
"xx. The representative of Lao PDR confirmed that, upon accession, Lao PDR would 
fully and promptly implement Article X of the GATT 1994, Article III of the GATS, Article 63 of the TRIPS Agreement, and other transparency provisions in the WTO Agreements requiring notification and or pub lication.  He further confirmed that no 
law, regulation, judicial decision, administrative rulings, or other measures of general application, at any level of government, pertaining to or affecting trade in goods, 
services and TRIPS would become effective prior to its publication in the Official 
Gazette.  The publication of such laws, regul ations and other measures would include 
the effective date of these measures and list the products and/or services affected by the 
particular measure.  The Working Party took note of these commitments. 
- Notifications  
 xx. The representative of Lao PDR confirmed that, at the latest within six months of 
the entry into force of the Protocol of Accession, Lao PDR would submit all initial notifications required by the WTO Agreement.  Any laws, regulations, or other measures subsequently enacted by Lao PDR, and which were required to be notified 
pursuant to the WTO Agreement, would also  be notified in a time and manner 
consistent with WTO requirements.  The Working Party took note of these 
commitments." 
Answer: 
Lao PDR proposes the following commitment language:  
[xx. The representative of Lao PDR confirmed that, upon accession, Lao PDR would 
promptly implement Article X of the GATT 1994 , Article III of the GATS, Article 63 of the 
TRIPS Agreement, and other transparency pr ovisions in the WTO Agreements requiring 
notification and or publication of  laws, regulations, judicial decisions, administrative rulings 
and other measures of general application, at  any level of government, pertaining to or  WT/ACC/LAO/24 
 Page 51 
 
 
  affecting trade in goods, services and TRIPS.  The Working Party took note of these 
commitments.] 
In addition, Lao PDR accepts the proposed commitment language:   
[xx. The representative of Lao PDR confirmed that , at the latest within six months of the 
entry into force of the Protocol of Accession,  Lao PDR would submit all initial notifications 
required by the WTO Agreement.  Any laws, regulations, or other measures subsequently 
enacted by Lao PDR, and which were requi red to be notified pursuant to the 
WTO Agreement, would also be notified in a time and manner consistent with 
WTO requirements.  The Working Part y took note of these commitments.] 
VIII. TRADE AGREEMENTS 
Question 122 
Paragraph 211 refers to Lao PDR's membership  of the ASEAN-Australia-New Zealand 
Free Trade Area (AANZFTA).  We request it be updated to reflect fact that AANZFTA is now in force for Lao PDR (since January 2011). 
Answer: 
Lao PDR takes note of Members' comments and wishes to update the progress below in 
paragraph 211 of the Elements of the Draft Working Party Report.  
 211. Lao PDR joined ASEAN and the ASEAN Free Trade Area (AFTA) in 1997.  
By implementing the AFTA Common Effective Preferential Tariff scheme, later renamed ASEAN Trade in Goods Agreement (ATIGA), duties on imports into Lao PDR from other 
ASEAN members would set to fall to zero,  or maximum 5 per cent, 8,300 tariff lines 
accounting for nearly 99 per cent based on HS  2007.  For goods on the "Sensitive List" 
(203 tariff lines), Lao PDR would eliminate the duties by 2015, or in some cases by 2018.  Lao PDR had included 464 tariff line items on th e "General Exemption List", thus excluded 
from any reduction commitment.  He estimated that about 60 per cent of Lao PDR's imports 
would be covered when AFTA had been fully implemented. Lao PDR was also a member of 
ASEAN Framework Agreement on Services (AFAS) and the ASEAN Investment Area 
Agreement later renamed as ASEAN Comprehens ive Investment Agreement (ACIA).  Free 
Trade Agreements with ASEAN dialogue partne rs China, India, Japan, Korea and Closer 
Economic Relations (Australia and New Zealand) are now in force.  The ASEAN-Japan and 
ASEAN-India negotiations in services are expected to be concluded by the end of 2012.  
In addition, Lao PDR would like to propose the fo llowing commitment language after paragraph 212:   
[xx. The representative of Lao PDR confirme d that Lao PDR would observe the relevant 
provisions of the WTO Agreement, including Article XXIV of the GATT 1994, the 1979 GATT Decision on Differential and More Favour able Treatment, Reciprocity and Fuller 
Participation of Developing Countries (Enabling Clause) and Article V of the GATS, in trade 
agreements to which it belongs, and would ensu re that the applicable provisions of these 
WTO Agreements for notification, consultation,  and other requirements concerning free trade 
areas, customs unions or other preferential trade arrangements, as the case may be, of which Lao PDR is, or may become, a member, were met from the date of accession.  The Working Party took note of these commitments.] WT/ACC/LAO/24 
Page 52  
 
  ANNEX 
Explanations to IP Enforcement-Related Answers from WT/ACC/LAO/20 
Question 123 Question 96 of document WT/ACC/LAO/20:  Please specify where in its laws Lao PDR provides 
for effective action against infringement of intellectual property rights and remedies which 
constitute a deterrent to further infringement without creating barriers to legitimate trade or 
opportunities for abuse. 
Answer 
Lao PDR provides for effective action against infr ingement of intellectual property rights and 
remedies which constitute a deterre nt to further infringement without creating barriers to legitimate 
trade or opportunities for abuse in the following laws: 
- Intellectual Property Law No. 08/NA of 24 December 2007 (Articles 130 to 135); 
- Civil Procedure Law No. 02/NA of 17 May 2004 (for civil action); and - Criminal Procedure Law No. 01/NA of 15 May 2004 (for criminal action). 
Explanation:  Articles 130 to 135 of the 2007 Inte llectual Property Law (replaced by 2011 Intellectual 
Property Law) provides possibilities for action and re medies against any infringement of intellectual 
property rights.  Remedies include  fine and imprisonment which c onstitute a deterrent to further 
infringement.  The possibilities for action include civil and criminal actions the procedures of which are detailed in the Civil Procedure Law and Crim inal Procedure Law respectively.  Under such 
procedures, judges have the authority to issue, upon request of the plaintiff, a provisional measure against any infringement.  Fair and equitable nature of such procedures would prevent any 
opportunities for abuse.   
Question 124 
Question 97 of document WT/ACC/LAO/20:  Please specify where in its laws Lao PDR provides 
enforcement procedures that are fair and equi table and are not unnecessarily complicated or 
costly and do not entail unreasonable time limits or unwarranted delays. 
Answer 
Lao PDR provides enforcement procedures that ar e fair and equitable and are not unnecessarily 
complicated or costly and do not entail unreasonabl e time limits or unwarranted delays in the 
following laws: 
- Economic Dispute Resolution Law No. 02/NA of 19 May 2005 (for mediation and 
arbitration) which was amended in December 2010; 
- Petition Handling Law No. 07/NA of 9 November  2005 (Articles 16 to 20 for administrative 
action); 
- Civil Procedure Law No. 02/NA of 17 May 2004 (for civil action);  - Criminal Procedure Law No. 01/NA of 15 May 2004 (for criminal action);  - Court Fee Law No. 7/NA of 27 December 2006 (for court fees); 
- Presidential Edict on Fees and Service Charges No. 03/PO of 17 March 2008 (for 
administrative fees); and 
- Judgment Enforcement Law No. 04/NA of 25 July 2008 (for judgment enforcement).  WT/ACC/LAO/24 
 Page 53 
 
 
  Explanation:  The holders of intellectual prope rty rights under the Intellectual Property Law may 
enforce their rights through different means as provided under the following laws:  Economic Dispute 
Resolution Law (for mediation or arbitration); Petition Handling Law (for administrative action) Civil Procedure Law (for civil action); and Criminal Procedure Law (for criminal action).  The official fees and service charges collected by the relevant author ities are clearly set-out in the Presidential Edict on 
Fees and Service Charges (for non-judicial actions us ing governmental authorities) and in the Court 
Fee Law (for judicial action).  Such fees and charges are very low and do not constitute a cost barrier 
for the enforcement of intellectual property rights.  With respect to judicial action, the Judgment 
Enforcement Law sets-out the steps and timelin es for the judgment enforcement procedures.  
All procedures set-out under the above-mentione d law provide equal opportunities for both the 
plaintiff and defendant to be heard in front of the court for any matters related to them.  The steps and 
timelines set-out for such procedures are not complicat ed or do not entail any unreasonable time limits 
or unwarranted delays. 
Question 125 
Question 98 of document WT/ACC/LAO/20:  Where specifically in its laws does Lao PDR 
require that decisions on the merits be based upon the evidence presented by the parties to the 
proceeding? 
Answer 
Lao PDR uses "inquisitorial system" in court proceedings where the court or a part of the court is 
actively involved in investigating the facts of the case.  Therefore, the merit decisions are based on 
evidence as presented by parties as well as evidence disc overed by the court.  Below are the relevant 
laws: 
- People's Court Law No. 09/NA of 26 November 2009 (Article 12);  
- Civil Procedure Law No. 02/NA of 17 May 2004 (Articles 20 and 78); and - Criminal Procedure Law No. 01/NA of 15 May 2004 (Articles 28-30). 
Explanation:  Article 83 of the Civil Procedure Law and Article 78 of the Criminal Procedure Law 
provide for a court hearing, in which both parties have equal opportunities to be heard on all evidence 
presented, whether it was provided by the parties or by the judge. 
Question 126 
Question 99 of document WT/ACC/LAO/20:  Where specifically, if at all, in its laws does 
Lao PDR require that the decisions on the merits of a particular case be done in writing with the reasons explained? 
Answer: 
Civil Procedure Law No. 02/NA of 17 May 2004 in par ticular in its Article 85 indirectly requires that 
decisions on civil cases must be in writing.  Article  105 of the same law indirectly requires that court 
decisions on civil cases must include reasons of decisi on.  There are similar requirements for criminal 
cases as set-out in Articles 80 and 93 of the Criminal Procedure Law No. 01/NA of 15 May 2004. 
Explanation:  Lao PDR courts cons istently provide all their decisions in writing.  Article 85 of the 
Civil Procedure Law provides that the judges must read the decision in the court room.  It is 
understood that only written documents can be read .  Therefore Article 85 indirectly requires the 
judges to make a decision in writing in order to read it in the court room.  Article 105 of the same law provides that a court decision of first instance may be revoked if, among others, the court analysis is WT/ACC/LAO/24 
Page 54  
 
  not in line with the facts of the relevant case.  Such analysis would be how the judges provide the 
reasons for their decisions.  Therefore, Article 105 indirectly requires the judges to provide reasons 
for their decisions.  The same reasoning applies to Artic le 80 and 93 of the Criminal Procedure Law.   
Question 127 
Question 100 of document WT/ACC/LAO/20:  Where specifically in its laws does Lao PDR 
provide for appeals to judicial bodies of final ad ministrative decisions and of at least the legal 
aspects of initial judicial decisions on the merits of a case? 
Answer: 
Lao PDR provides for appeals to judicial bodies of fi nal administrative decisions and of at least the 
legal aspects of initial judicial decisions on the merits of a case in the following law:  
- Intellectual Property Law No. 08/NA of  24 December 2007 (Article 117); 
- Petition Handling Law No. 07/NA of 9 Novemb er 2005 (in particular Article 6.6); 
- Civil Procedure Law No. 02/NA of 17 May 2004 (for civil action); and  
- Criminal Procedure Law No. 01/NA of 15 May 2004 (for criminal action). 
Explanation:  Article 117 of the 2007 Intellect ual Property Law (replaced by 2011 Intellectual 
Property Law) provides the opportunities for appeal against any administrative decisions.  Such 
provision is the general principle as set-out in  the Petition Handling Law (see Article 6.6 in 
particular).  The judicial procedures for reviewin g such administrative decisions are set-out in the 
Civil Procedure Law (for civil action) and in the Criminal Procedure Law (for criminal action).   
Question 128 
Question 101 of document WT/ACC/LAO/20:  Where specifically in its laws does Lao PDR 
provide a procedure that allows plaintiffs to brin g an action for infringement for those types of 
intellectual property covered by the TRIPS Agreement (Articles 9 to 40)? 
Answer: 
Lao PDR provides general procedures that allow plain tiffs to bring an action for infringement for IP 
covered by the TRIPS Agreement (Articles 9 to 40) in the following laws:  
- Petition Handling Law No. 07/NA of 9 November 2005 (for administrative action);  
- Civil Procedure Law No. 02/NA of 17 May 2004 (for civil action); and  
- Criminal Procedure Law No. 01/NA of 15 May 2004 (for criminal action). 
Explanation:  The Petition Handling Law generally a llows plaintiff to bring an action against any 
infringement of those types of intellectual propert y protected by Intellectual Property Law, which 
protects all types of intellectual property covered by  the TRIPS Agreement.  The detailed procedures 
for such actions are set-out in the Civil Pr ocedure Law and Criminal Procedure Law.  
Question 129 
Question 102 of document WT/ACC/LAO/20:  Where specifically in its laws does Lao PDR 
require that defendants be notified of such proceedings in writing?  WT/ACC/LAO/24 
 Page 55 
 
 
  Answer: 
Lao PDR requires that defendants be notified of su ch proceedings in writing in the following law:  
Civil Procedure Law No. 02/NA dated 17 May 2004 (Article 40).  
Explanation:  Article 40 of the Civil Procedure La w provides that the relevant judges must serve a 
letter of notice to the defendant, among other relevant  parties, of the proceedings.  There are some 
required details of the letter of notice.  Therefore, the judges must notify the defendants of the 
proceedings in writing.  
Question 130 
Question 103 of document WT/ACC/LAO/20:  Where specifically in its laws does Lao PDR 
permit both sides to the proceeding to p resent evidence in support of their position? 
Answer: 
Lao PDR permits both sides to the proceeding to pr esent evidence in support of their position in the 
following laws:   
- Civil Procedure Law No. 02/NA of 17 May 2004 (Article 20); and  
- Criminal Procedure Law No. 01/NA of 15 May 2004 (Articles 28 to 30). 
Explanation:  Article 20 of the Civil Procedure Law provides that both sides to the proceeding may 
present their evidence supporting their respective claims and defence.  Similarly, Articles 28-30 of the 
Criminal Procedure Law allow the plaintiff a nd defendant to present evidence to support their 
position. 
Question 131 
Question 104 of document WT/ACC/LAO/20:  Where specifically in its laws does Lao PDR 
provide a means to protect confidential information in such proceedings? 
Answer: 
Lao PDR provides a means to protect confidential in formation in such proceedings in the following 
laws:   
- Intellectual Property Law No. 08/NA of  24 December 2007 (Article 107.3); 
- Petition Handling Law No. 07/NA of 9 November 2005 (Article 33);  
- People's Court Law No. 09/NA of 26 November 2009 (Articles 13 and 56.5); and  - Criminal Law No. 09/NA of 12 November 2005 (Articles 104 and 153). 
Explanation:  Article 107.3 of the 2007 Intellect ual Property Law (replaced by 2011 Intellectual 
Property Law) prohibits government officials from  disclosing information related to intellectual 
property without authorization.  Article 33 of  the Petition Handling Law prohibits petition handling 
officials, including judges, from disclosing confid ential information related to the petitioner.  
Articles 13 and 56.5 of the People's Court Law impo se the obligation of confidentiality to the judges 
and Article 59.9 forbids judges from incurring in unethical or illegal actions.  Articles 104 of the Criminal Law punishes the breach of confidential in formation by anyone who has had access to it in 
the performance of his duties and Article 153 of the Criminal Law further punishes the abuse of 
power by any civil servant.  WT/ACC/LAO/24 
Page 56  
 
  Question 132 
Question 105 of document WT/ACC/LAO/20:  Where does Lao PDR law give judges the 
authority to order production of evidence necessa ry to substantiate a party's claims where that 
party has been unable to obtain evidence that li es within the control of the opposing party? 
Answer: 
Lao PDR indirectly gives judges the authority to order production of evidence necessary to 
substantiate a party's claims where that party has been unable to obtain evid ence that lies within the 
control of the opposing party in the following laws:  
- Civil Procedure Law No. 02/NA of 17 May 2004 (Article 20); and 
- Criminal Procedure Law No. 01/NA of 15 May 2004 (Articles 28 to30). 
Explanation:  Article 20 of the Civil Procedure Law provides that the judge may suggest the parties to 
provide additional evidences, seek for evidence upo n his own initiative or upon request by either 
party.  The phrase "upon request by either party" im plies that the judge may seek or require evidence 
from any person including parties if such is requested  by either party to the proceedings, or upon his 
own initiative. 
Question 133 Question 106 of document WT/ACC/LAO/20:  Where does Lao PDR law provide judges the 
authority to issue orders or injunctions enjoining a party from intellectual property infringements? 
Answer: 
Lao PDR provides judges the authority to issue orders or injunctions enjoining a party from violations 
(including intellectual property infringements) in the following laws:  
- Civil Procedure Law No. 02/NA of 17 May 2004 (Article 71); and  
- Criminal Procedure Law No. 01/NA of 15 May 2004 (Articles 59 to 68). 
Explanation:  Article 71 of the Civil Procedur e Law provides judges the authority to issue an 
injunction to order a party to desist from doing some thing in relation to the case.  Articles 59 to 68 of 
the Criminal Procedure Law contain similar provisions. 
Question 134 
Question 107 of document WT/ACC/LAO/20:  Where does Lao PDR law provide judges the 
authority to order the payment of monetary da mages adequate to compensate for the injury 
suffered by the right holder as a result of the infringement? 
Answer: 
Lao PDR provides judges the authority to order mo netary compensation for any damages caused by 
one person to another person (inclu ding damages caused by IPR infringements) in the following law: 
- Law on Contract and Tort No. 1/NA of 8 December 2008 (Articles 83, 91 and 101).   WT/ACC/LAO/24 
 Page 57 
 
 
  Explanation:  Article 83 of the Contract and Tort Law provides that any person must be liable for any 
damages caused by his act to any other person.  Article 91 of the same law sets-out damages covered 
under this law which includes all relevant expenses and lost profits.  Article 101 of the same law 
provides that the affected party ma y claim these damages in court. 
Question 135 
Question 108 of document WT/ACC/LAO/20:  Where does Lao PDR law provide judges the 
authority to order infringers to p ay right holders' enforcement costs? 
Answer: 
Lao PDR provides judges the authority to order infri ngers to pay right holders' enforcement costs in 
the following laws:   
- Court Fee Law No. 7/NA of 27 December 2006 (Articles 26 and 33); and  
- Judgment Enforcement Law No. 04/NA of 25 July 2008 (Article 35). 
Explanation:  Article 26 of the Court Fee Law requires that the loser of a case pay all expenses in 
relation to the case.  A similar provision is set -out under Article 35 of the Judgment Enforcement 
Law.  
Question 136 Question 111 of document WT/ACC/LAO/20:  Where does Lao PDR law provide judges 
authority to order the payment of adequate compen sation to parties injured as a result of being 
wrongfully enjoined or restrained, including a ttorney's fees and expenses, in those cases where 
the party requesting enforcement meas ures has abused such procedures? 
Answer: 
Lao PDR provides judges the authority to order mo netary compensation for any damages caused by 
one person to another person (inc luding damages caused by abuse of any court injunction) in the 
following law: 
- Law on Contract and Tort No. 1/NA of 8 December 2008 (Articles 83, 91 and 101). 
Explanation:  Article 83 of the Contract and Tort Law provides that any person must be liable for any 
damages caused by his act to any other person.  Article 91 of the same law sets-out damages covered 
under this law which includes all relevant expenses and lost profits.  Article 101 of the same law 
provides that the affected party ma y claim these damages in court. WT/ACC/LAO/24 
Page 58  
 
  Question 137 
Question 112 of document WT/ACC/LAO/20:  Where does Lao PDR law exempt public 
authorities and officials from liability in conn ection with the administration of intellectual 
property laws where such actions are taken or  intended in good faith in the course of the 
administration of that law? 
Answer: 
Lao PDR exempts public authorities and officials fro m liability in connection with the administration 
of intellectual property laws where such actions are taken or intended in good faith in the course of 
the administration of that law in the following laws:  
- Law on Contract and Tort No. 1/NA of 8 December 2008 (Article 83); and  
- Criminal Law No. 09/NA of 12 November 2005 (Articles 22 and 23). 
Explanation:  Article 83 of the Contract and Tort Law provides that any person must be liable for any 
damages caused by his act to any other person unless such act is a lawful self-defence or performance 
of a lawful duty.  Therefore, in performing their lawful duties in relation to intellectual property, 
public authorities and officials are exempted from liability.  Similar exemptions are provided in the 
Criminal Law in Articles 22 (lawful exercise of profession) and 23 (lawful implementation of an 
order).  
Question 138 
Question 115 of document WT/ACC/LAO/20:  Where does Lao PDR law provide judges with 
the authority to adopt provisional measures in audita altera parte  (ex parte )? 
Answer: 
Lao PDR provides judges with the authority to adopt provisional measures in audita altera parte  
(ex parte ) in the following laws: 
- Civil Procedure Law No. 02/NA of 17 May 2004 (Articles 71, 76 and 119); and  
- Criminal Procedure Law No. 01/NA of 15 May 2004 (Articles 59 to 68).  
Explanation:  Articles 71, 76 and 119 of the Civil Procedure Law allow the judge to issue provisional 
measures ex parte  if the judge deems it necessary to protect  evidence or to stop further infringement.  
Similar provisions are set-out under the Cr iminal Procedure Law (Articles 59 to 68).  
Question 139 
Question 131 of document WT/ACC/LAO/20:  Where does Lao PDR law provide criminal 
procedures and penalties, sufficient to act as a deterrent, for wilful trademark counterfeiting or copyright piracy on a commercial scale? 
Answer: 
Lao PDR provides criminal procedures and penalties,  sufficient to act as a deterrent, for wilful 
trademark counterfeiting or copyright piracy on a commercial scale in the following laws: 
- Intellectual Property Law No. 08/NA of 24 December 2007 (Article 134); and  
- Criminal Procedure Law No. 01/NA of 15 May 2004 (for criminal procedures).  WT/ACC/LAO/24 
 Page 59 
 
 
  Explanation:  Article 134 of the Intellectual Pr operty Law (replaced 2011 Intellectual Property Law) 
imposes fines and imprisonment for infringers of intellectual property including trademark and 
copyright.  Fines range from 500,000 KN to 5,000,000 KN (10,000,000 KN under the 2011 Intellectual Property Law), which for Lao conditions  are high, and imprisonment periods range from 
three months to two years, which are sufficient to  act as a deterrent for wilful trademark counterfeiting 
or copyright piracy on a commercial scale. 
 
__________